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Your financial advisor tells you that the expected return on your investment portfolio is 8% with a standard deviation of 9%. There is a 10
Your financial advisor tells you that the expected return on your investment portfolio is 8% with a standard deviation of 9%. There is a 10 percent chance that your return will be above 12 percent. Assuming that your financial advisor is right about his assessment. Is it reasonable to assume that the underlying return distribution follows a normal distribution? Show the calculations supporting your conclusion.
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