Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The All-State Mutual Fund has the following 5-year record of performance: Find this no-load fund's 5 -year (2015-2019) average annual compound rate of return. Also

image text in transcribedimage text in transcribed

The All-State Mutual Fund has the following 5-year record of performance: Find this no-load fund's 5 -year (2015-2019) average annual compound rate of return. Also find its 3-year (2017-2019) average annual compound rate of return. If an investor bought the fund in 2015 at $10.14 a share and sold it 5 years later (in 2019) at $15.75, how much total profit per share would she have made over the 5 -year holding period? This no-load fund's 5-year (2015-2019) average annual compound rate of return is \%. (Round to two decimal places.) A year ago, the Very Large Growth Fund was being quoted at an NAV of $21.15 and an offer price of $22.03. Today, it's being quoted at $22.91 (NAV) and $23.86 (offer). What is the holding period return on this load fund, given that it was purchased a year ago and that its dividends and capital gains distributions over the year have totaled $0.85 per share? Assume that none of the dividends and capital gains distributions are reinvested into the fund. (Hint: You, as an investor, buy fund shares at the offer price and sell at the NAV.) The holding period return on this load fund is \%. (Round to two decimal places.) The All-State Mutual Fund has the following 5-year record of performance: Find this no-load fund's 5 -year (2015-2019) average annual compound rate of return. Also find its 3-year (2017-2019) average annual compound rate of return. If an investor bought the fund in 2015 at $10.14 a share and sold it 5 years later (in 2019) at $15.75, how much total profit per share would she have made over the 5 -year holding period? This no-load fund's 5-year (2015-2019) average annual compound rate of return is \%. (Round to two decimal places.) A year ago, the Very Large Growth Fund was being quoted at an NAV of $21.15 and an offer price of $22.03. Today, it's being quoted at $22.91 (NAV) and $23.86 (offer). What is the holding period return on this load fund, given that it was purchased a year ago and that its dividends and capital gains distributions over the year have totaled $0.85 per share? Assume that none of the dividends and capital gains distributions are reinvested into the fund. (Hint: You, as an investor, buy fund shares at the offer price and sell at the NAV.) The holding period return on this load fund is \%. (Round to two decimal places.)

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

Emotions In Finance Booms Busts And Uncertainty

Authors: Jocelyn Pixley

2nd Edition

1107633370, 978-1107633377

More Books

Students also viewed these Finance questions