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Which of the following describes the average compounded return actually earned per year over a multi-year investment horizon? A. Arithmetic return B. Geometric return C.
Which of the following describes the average compounded return actually earned per year over a multi-year investment horizon? A. Arithmetic return B. Geometric return C. Holding period return On January 1, an investor buys 100 shares of stock in Twitter at the share price of $45. At the line of purchase, the investor estimated the required return for Twitter using the CAPM using a beta of 2.5. a market risk premium of 7.5%, and a risk-free rate of 1.25%. Exactly one year alter purchase, the investor sells the shares for $54 per share. Twitter did not pay any dividends over the year. The investor's investment in Twitter generated: A. a negative alpha. B. an alpha equal to zero. C. a positive alpha
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