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The answers to this question are to be calculated from the following data file (originally from Yahoo! Finance). Return is to be calculated as logarithmic
The answers to this question are to be calculated from the following data file (originally from Yahoo! Finance). Return is to be calculated as "logarithmic rate of return."
SP500 daily close from the year 2000
The average daily return for the period between Jan 2, 2003 and Dec 30, 2022 was %, and the standard deviation was %. (two decimal points for both) Assuming that there are 251 trading days in a year, the average annual return was %, and the standard deviation was \%. (two decimal points for both) If the average risk-free rate over this period was 2.5%, the Sharpe Ratio was (two decimal points) Considering that the closing level of SP500 on Jul 21, 2023 was 4536.34 , it could be said that a daily fall of 45 points is event. The average daily return for the period between Jan 2, 2003 and Dec 30, 2022 was %, and the standard deviation was %. (two decimal points for both) Assuming that there are 251 trading days in a year, the average annual return was %, and the standard deviation was \%. (two decimal points for both) If the average risk-free rate over this period was 2.5%, the Sharpe Ratio was (two decimal points) Considering that the closing level of SP500 on Jul 21, 2023 was 4536.34 , it could be said that a daily fall of 45 points is eventStep by Step Solution
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