Question
The estimated average return (E(R)) on an investment portfolio is 6.62%. Assume that the returns follow a normal distribution and the estimated standard deviation of
The estimated average return (E(R)) on an investment portfolio is 6.62%.
Assume that the returns follow a normal distribution and the estimated standard deviation of returns is 15.54% per year.
What is the expected CAGR (geometric mean) of returns?
Enter the answer as a decimal (with 4 decimal places).
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Grow The Pie How Great Companies Deliver Both Purpose And Profit
Authors: Alex Edmans
1st Edition
1108494854,1108849482
