Q2. You collected 500 weeks of data (2500 days total). Based on that you find Tuesday's mean return is 12 bps. Mean return of all days is 2 bps. Stdev across all days is 100 bps. There is no noticeable difference b/w Tuesday stdev vs other weekdays' stdev. Based on q1c find D Q1c. what is the mean log return and stdev of log return over one year period and four year period (assuming 252 trading days per year)?   Q1d. based on Q1c what is the probably of losing money (negative log return) or doubling your money (total log return = ln(2)) over 1 year and 4 year period?

College Algebra
1st Edition
ISBN:9781938168383
Author:Jay Abramson
Publisher:Jay Abramson
Chapter6: Exponential And Logarithmic Functions
Section6.8: Fitting Exponential Models To Data
Problem 3TI: Table 6 shows the population, in thousands, of harbor seals in the Wadden Sea over the years 1997 to...
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Q2. You collected 500 weeks of data (2500 days total). Based on that you find Tuesday's mean return is 12 bps. Mean return of all days is 2 bps. Stdev across all days is 100 bps. There is no noticeable difference b/w Tuesday stdev vs other weekdays' stdev.

Based on q1c find D

Q1c. what is the mean log return and stdev of log return over one year period and four year period (assuming 252 trading days per year)?
 
Q1d. based on Q1c what is the probably of losing money (negative log return) or doubling your money (total log return = ln(2)) over 1 year and 4 year period?
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