Formulas Flashcards

1
Q

Return = 𝑅

A

πΊπ‘Žπ‘–π‘› 𝑖𝑛 π‘Šπ‘’π‘Žπ‘™π‘‘β„Ž /
πΌπ‘›π‘–π‘‘π‘–π‘Žπ‘™ π‘Šπ‘’π‘Žπ‘™π‘‘β„Ž

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2
Q

Return on a share 𝑅 𝑑 =

A

(π‘ƒπ‘‘βˆ’π‘ƒπ‘‘βˆ’1+𝐷𝑑) /
π‘ƒπ‘‘βˆ’1

1) Capital gains over the holding period (𝑷𝒕 βˆ’ π‘·π’•βˆ’πŸ)
2) dividend payments over the holding period, 𝑫𝒕.

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3
Q

Wealth relative =

A

End of period wealth /
Beginning of period wealth

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4
Q

Variance = 𝜎2

A

𝑝𝑖(𝑅𝑖 βˆ’ ഀ𝑅)2

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