Suppose you forecast the standard deviation of the market return will be 22% in the upcoming year.

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Suppose you forecast the standard deviation of the market return will be 22% in the upcoming year. If the measure of risk-aversion, A = 2.5, what would be a reasonable guess for the expected market risk premium? 12.10% 14.85% 13.15% 10.56%

Posted Date: Jul 11, 2024 09:20 AM

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Suppose you forecast the standard deviation of the market return will be 22% in the upcoming year.

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