Question
You've uncovered the followingper-share information about a certain mutualfund: On the basis of thisinformation, find thefund's holding period returns for 2014 , 2015 , and
You've uncovered the followingper-share information about a certain mutualfund: On the basis of thisinformation, find thefund's holding period returns for 2014, 2015, and 2016. (In all threecases, assume you buy the fund at the beginning of the year and sell it at the end of each year and none of the dividends and capital gains distributions are reinvested into thefund.) Inaddition, find thefund's average annual compound rate of return over thethree-year period, 2014-2016. What would the 2015
holding period return have been if the investor had initially bought 500 shares of the fund and reinvested both dividends and capital gains distributions into additional shares of the fund at an average price of $51.00 pershare?
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