An investor is evaluating the historical performance of an investment fund. The following annual returns are provided to the investor: 11eb75bb_ad22_b937_adfc_cba11e0792d8_SM5992_00 a. Calculate the investment returns for each year. b. Compute the arithmetic mean return. c. Calculate the geometric mean return. d. Why is there a difference between (b) and (c)

Real Estate Finance & Investments 15th Edition by William Brueggeman, Jeffrey Fisher

النسخة 15الرقم المعياري الدولي: 978-0073377353

Real Estate Finance & Investments 15th Edition by William Brueggeman, Jeffrey Fisher

النسخة 15الرقم المعياري الدولي: 978-0073377353

تمرين 4

An investor is evaluating the historical performance of an investment fund. The following annual returns are provided to the investor:

a. Calculate the investment returns for each year.
b. Compute the arithmetic mean return.
c. Calculate the geometric mean return.
d. Why is there a difference between (b) and (c)

التوضيح

موثّق

Time-weighted returns:
Holding period r...