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Suppose that an investment has yielded the following historical annual returns for the past 5 years: Year 1 = 12% Year 2 = 16% Year
Suppose that an investment has yielded the following historical annual returns for the past 5 years:
Year 1 = 12%
Year 2 = 16%
Year 3 = -7%
Year 4 = 4%
Year 5 = 30%
What is the arithmetic average annual return for the past 5 years?%
What is the geometric average rate of return for the past 5 years (CAGR)?%(Round your answer to 2 decimal places).
What is the standard deviation in returns for the past 5 years?%(Round your answer to 2 decimal places).
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