Returns 1 RETURNS Prices and returns Let Pt be the price of an asset at time t. Assuming no dividends the net return is Pt Pt − Pt−1 −1= Rt = Pt−1 Pt−1 The simple gross return is Pt = 1 + Rt Pt−1 Returns 2 Example: If Pt−1 = 2 and Pt = 2.1 then 2.1 Pt 1 + Rt = = = 1.05 and Rt = 0.05 Pt−1 2 Returns 3 The gross return over k periods (t − k to t) is 1 + Rt (k) := Pt−1 Pt−k+1 Pt Pt ··· = Pt−k Pt−1 Pt−2 Pt−k = (1 + Rt ) · · · (1 + Rt−k+1 ) Returns are • scale-free‚ meaning that they do not depend
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an investor. b. the expected return on a risky asset. c. the expected return on a collection of risky assets. d. the variance of returns for a risky asset. e. the standard deviation of returns for a collection of risky assets. PORTFOLIO WEIGHTS 2. The percentage of a portfolio’s total value invested in a particular asset is called that asset’s: a. portfolio return. b. portfolio weight. c. portfolio risk. d. rate of return. e. investment value.
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Risk and Return: Portfolio Theory and Asset Pricing Models Portfolio Theory Capital Asset Pricing Model (CAPM) Efficient frontier Capital Market Line (CML) Security Market Line (SML) Beta calculation Arbitrage pricing theory Fama-French 3-factor model Portfolio Theory • Suppose Asset A has an expected return of 10 percent and a standard deviation of 20 percent. Asset B has an expected return of 16 percent and a standard deviation of 40 percent. If the correlation between A and B is 0.6
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MODELLING ABNORMAL RETURN: A REVIEW ARTICLE Oleh Norman Strong Overview Paper ini memberikan panduan untuk metodologi event study dan menguraikan prosedur pemodelan return abnormal dan masalah yang terkait. Event Study Event study adalah nama yang diberikan pada penelitian empiris atas hubungan antara harga sekuritas dengan kejadian ekonomi (economic events). Kebanyakan event study memfokuskan pada perilaku harga saham dalam rangka untuk menguji apakah perilaku stokastik mereka dipengaruhi oleh pengungkapan
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There is also a gray area‚ because graduates of both levels of education take the same licensing exam‚ and also have the same legal responsibilities (Masters‚ 1989). In the article “Analysis of Differences in Entry-Level RN Practice by Educational Preparation”‚ June E. Smith states that there was a very close relationship in pattern of practice between recently graduated Associate and Baccalaureate nurses (2002). She also wrote that “Within the first 6 months of practice‚ ADN and BSN graduates performed
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From session 1 Important terms Ontology * It defines how the organization defines the world‚ their market‚ their costumers and themselves. * It defines how resources are spent * It defines the range of good and services a company can produce * It is linked very directly to their epistemology Epistemology * Is concerned with the following questions: What are the necessary and sufficient conditions of knowledge? What are its sources? What is its structure‚ and what
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Returns to Scale Returns to scale is a concept that tries to explain the behaviour of the output in relation to the change in the total scale of operations of the firm. A change of scale of operations means a change in the total size of the firm‚ i.e. a change in both labour and capital of the firm. For determining the returns to scale‚ we need to calculate the Output Elasticity where: Output Elasticity = % change in Output/% change in all inputs The different types of returns to scales
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Don Cherry‚ born and raised in Kingston Ontario‚ is known for his openness‚ often debatable and always amusing commentary. Mr. Cherry can be seen weekly during the National Hockey League season. He has a segment during the first intermission‚ every Saturday on CBC’s Hockey Night In Canada called the Coach’s Corner. Don grew up playing hockey‚ for he was playing in the OHL by the time he was 17. Unfortunately‚ Don never made it big‚ but he managed to make his way around the minor league system
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The Return of the Native: Character Profiles Captain Vye The Captain is the grandfather of Eustacia and before her marriage to Clym she lives with him at Mistover. Christian Cantle Christian Cantle is entrusted by Mrs Yeobright to take Thomasin and Clym their gift of money. He is described as naive and when Wildeve wins the money from him‚ Wildeve’s behavior may be perceived as all the more appalling. Clym Yeobright The eponymous hero of the novel is characterized by the expectations others
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Don Quixote‚ mysterious and fascinating figure‚ brought to the creation of many versions of the work in various disciplines . Due to importance of the book‚ Don Quixote was studied through different arts: in fact there are many adaptations in films‚ comics‚ paintings and ballets as well. Every adaptation has different ways to show the protagonist of the literary text‚ written by the Spanish writer Miguel de Cervantes Saavedra in 1605. However‚ considerable success was reached in the ballets and
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