b. Calculate the quarterly geometric (time-weighted) average return on the fund. (Do not round intermediate calculationRound your answer to 2 decimal places.)Geometric average%c. Calculate the quarterly dollar-weighted average return on the fund. (Do not round intermediate calculations. Roundyour answer to 2 decimal places.)Dollar-weighted average return% $You are the manager of the Mighty Fine mutual fund. The following table reflects the activity of the fund during thequarter. The fund started the quarter on January 1 with a balance of $100 million.Mighty Fine Mutual FundMonthly Data (measured at end of month)January February5.5-4.30Net inflows (5 million)HPR (%)Arithmetic averageRequired:a. Calculate the quarterly arithmetic average return on the fund. (Do not round intermediate calculations. Round yanswer to 2 decimal places.)%Geometric average-4.36.20March01.80b. Calculate the quarterly geometric (time-weighted) average return on the fund. (Do not round intermediate calcul.Round your answer to 2 decimal places.)%

Arithmetic Average Return:The arithmetic average return, often referred to as the simple average or…

Answered: . Calculate the quarterly geometric…

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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Similar questions

A mutual fund that invest in a mix of equity and fixed income securities that provide current cash flow is a(n)
Y8
Calculate the returns as per sharpe's, treynor and jensen performance measures and comment on the best investment
Đ The risk free rate is 3%. Calculate and rank the following funds using Jensen's Alpha, Treynor measure, Sharpe ratio and M Fund 4 5.82% Market Index 7.60% Fund 1 Fund 2 Fund 3 Return 6.45% 8.96% 9.44% 0.88 1.02 1.38 0.80 1% Beta Std. dev. 2.74% 4.54% 3.72% 2.64% 2.80%
this is a finance question. the arithmetic average is not going to be the total sum divided by n ( ex:2546/8) if you can't answer it, please just reject the question
Solve the problems listed below. Show your solution and box the final answer. (bond or yellow paper) 1. A fund is set up to charge a load. Its net asset value is P16.50 and its offer price is P17.30. A. How much is the commission of the load? B. What percentage of the offer price does the commission represent? C. What percentage of the net asset value does the commission represent? D. Assume the fund increased in value by .30 the first month after you purchased 100 shares. What is the total gain or loss? Compare the total current value with the total purchase amount. E. By what percentage would the net asset value of the shares have to increase for you to break even? 2. Under peso-cost averaging, an investor will purchase P6,000 worth of stock each year for three years. The stock price is P40 in year 1, P30 in year 2 and P48 in year 3. A. What is the share purchased in every year? B. Compute the average price per share. C. Compute the average cost per share. 3. Under peso-cost…
Investor has had the following returns in the Magic Fund for the past 4 years: 15%, 25%, -30%, 18%. c) State whether the annual geometric return (assume positive) should be higher, lower, or the same as the annual arithmetic return. Neither calculation nor explanation is necessary. d) State which measure, annual arithmetic return or annual geometric return, better represents how an investment performed over time. Neither calculation nor explanation is necessary.
From the following mutual fund quotation, complete the blanks: (Negative amounts should be indicated by a minus sign. Round the "NAV" and the "NAV change" to the nearest cent and the "Total return" to the nearest hundredth percent.) TOTAL RETURN Inv. obj. NAV NAV chg. YTD 4 wks. 1 yr. EuGr ITL 10.89 -0.03 +8.1 +0.82 +9.4 NAV NAV change Total return, 1 year % M acer
Activity 3 You are given the following information on three funds. The risk free rate is 6%. Calculate the differential return measure. Interpret your findings. Fund CH- G I Actual Return 15 25 30 Market Return 20 20 20 Sigma² 16 25 36
a. Using the data in the table below and calculate the following performance measures
Review the table below listing performance metrics for selected assets. The metrics are defined in the same way as in CAPM. Compute the CAPM alpha for the four assets (data attached as image).
__________ fund is defined as one in which the fund charges a sales commission to either buy into or exit from the fund. Group of answer choices A no-load A specialized sector A load An index

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