Suppose the historical returns on a stock are normally distributed. The mean return is 12%, and the standard deviation is 6%. Then, what is the approximate probability that your return on this stock is less than 6% in a given year? What range of returns would you expect to see 95% of the time? What range would you expect to see 99% of the time?
Already registered? Login
Not Account? Sign up
Enter your email address to reset your password
Back to Login? Click here