Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Managing the risk of returns is critical to the survival of a hedge-fund manager. The probability distribution of the returns (x i ) next year

Managing the risk of returns is critical to the survival of a hedge-fund manager. The probability distribution of the returns (xi) next year in millions of dollars is given below. Find the standard deviation of the investment return for the hedge-fund.

xip(xi)

-100.18

-50.10

00.12

50.28

100.32

A.2.30

B.7.363

C.7.563

D.59.5

E.None of the above

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Numerical Analysis

Authors: Richard L. Burden, J. Douglas Faires

9th edition

538733519, 978-1133169338, 1133169333, 978-0538733519

More Books

Students also viewed these Mathematics questions