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You have invested in a stock portfolio that has earned returns of 1.5%, 2.625%, 6%, -0.45%, and -8.1% in the past 5 years. What is

You have invested in a stock portfolio that has earned returns of 1.5%, 2.625%, 6%, -0.45%, and -8.1% in the past 5 years. What is the difference between the compounded rate of return and the cumulative (added) rate of return? A: The compounded rate of return is 0.016. Thus, the difference is -0.006.

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