Holding period return, statistics, Basic Statistics

Assignment Help:
Holding period return:
Holding period return is the return earned by the virtue of holding an asset over a given period. The return is equal to the income and other gains earned from the asset, divided by the original cost of the asset.


Holding period return of SMSI is -3.12 which represents the loss on investment. Investment is reduced by 3.12% over the period. Where as in the case of S&P Holding period return is 0.62, meaning that investments are increased by 0.62% over the period.
Even though the adjusted Holding period return for SMSI is reduced due to dollar appreciation, still it continues to be negative, resulting in the reduction in investment.
Therefore after studying Holding period return and adjusted Holding period return it is clear that investment in SMSI is not advisable as it results in deterioration of capital. Whereas, the investment is advisable since it gives positive Holding period return. But again here it should be noted that 0 .62% of Holding period return for period of 10 weeks means 3.224% (52 weeks) of annual growth which is matter of consideration seeing the risk return ratio.

Related Discussions:- Holding period return, statistics

Derive an expression for the autocorrelation, i)A sionusodial signal has t...

i)A sionusodial signal has the form x(t) = Asin?t Derive an expression for the autocorrelation Rxx(λ) II) Explain the significance of this result in term of the frequen

Mean - median and frequencies, Put the appropriate summary statistics, e.g....

Put the appropriate summary statistics, e.g. mean, median, frequencies, percentages, for the different variables into a table to make them concise. You can see examples of consise

Read the passage below. What kind of variables are these — n, To examine a ...

To examine a program for educating health professionals in a sports injury clinic about the importance of keeping detailed medical records, a researcher does a controlled trial i

Correlation analysis and coefficient, Individual Music scores Mathematics s...

Individual Music scores Mathematics scores Angela 2 8 Arthur 6 3 Peter 4 9 Mike 5 7 Barbara 7 2 Jane 7 3 Jean 2 9 Ruth 3 8 Alan 5 6 Theresa 4 7 Assess the data using a Correlation

Management accounting, how cost classification can helpful for planning, co...

how cost classification can helpful for planning, controlling and decision making

#tiMEDIANtle.., #quHOW TO MAKE ASSIGMENT ON MEDIANestion..

#quHOW TO MAKE ASSIGMENT ON MEDIANestion..

Comb & proportions type will appear in f & f2, In fowl,the genotype rrpp gi...

In fowl,the genotype rrpp gives single comb, R_P_ walnut comb, rrP_ pea comb, and R_pp rose comb. a. What comb type will appear and in what proportions in F and F2 if single- co

Compute the value of beta - simple linear regression , Simple Linear Regres...

Simple Linear Regression One measure of the risk or volatility of an individual stock is the standard deviation of the total return (capital appreciation plus dividends) over

Hitorigrams, difference between historigrams and histogram

difference between historigrams and histogram

Differences between ifrs and gaap, While the differences between IFRS and G...

While the differences between IFRS and GAAP are reducing, there still are significant differences between the two. While the IFRS has been developed by the IASB (International A

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd