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what is the intuition behind the Annual Realized Return formula? 1+R_annual=(1+R_1)(1+R_2)(1+R_3)...(1+R_n) why do we multiply each of those factors and why do we compound it?

what is the intuition behind the Annual Realized Return formula?

1+R_annual=(1+R_1)(1+R_2)(1+R_3)...(1+R_n)

why do we multiply each of those factors and why do we compound it?

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