If the price of an asset has increased since the original purchase of the asset, then the total return of the asset (if no dividends were paid during the period) is equal to the capital appreciation component return.

Question

Quizplus · Accepted Answer

Capital appreciation refers to the increase in the market value of an asset. Therefore, if the price of the asset has increased since the original purchase and no dividends were paid, the total return would be equal to the capital appreciation component return.

If the Price of an Asset Has Increased Since the Original