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Stocks A and B have the following historical returns: Year Stock A's Returns, r A Stock B's Returns, r B 2013 - 23.90% - 16.20%
Stocks A and B have the following historical returns:
Year | Stock A's Returns, rA | Stock B's Returns, rB |
2013 | - 23.90% | - 16.20% |
2014 | 30.75 | 15.00 |
2015 | 15.25 | 20.90 |
2016 | - 1.00 | - 9.10 |
2017 | 31.50 | 42.00 |
- Calculate the average rate of return for stock A during the period 2013 through 2017. Round your answer to two decimal places. _______ % Calculate the average rate of return for stock B during the period 2013 through 2017. Round your answer to two decimal places. _____%
- Assume that someone held a portfolio consisting of 50% of Stock A and 50% of Stock B. What would the realized rate of return on the portfolio have been each year? Round your answers to two decimal places. Negative values should be indicated by a minus sign.
Year Portfolio 2013 % 2014 2015 2016 2017 - Calculate the standard deviation of returns for each stock and for the portfolio. Round your answers to two decimal places.
Stock A Stock B Portfolio Standard Deviation % % % - Calculate the coefficient of variation for each stock and for the portfolio. Round your answers to two decimal places.
Stock A Stock B Portfolio CV - Assuming you are a risk-averse investor, would you prefer to hold Stock A, Stock B, or the portfolio? -Select-
- Stock A
- Stock B
- Portfolio
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