Formulas Flashcards
1
Q
Return = π
A
πΊπππ ππ πππππ‘β /
πΌπππ‘πππ πππππ‘β
2
Q
Return on a share π π‘ =
A
(ππ‘βππ‘β1+π·π‘) /
ππ‘β1
1) Capital gains over the holding period (π·π β π·πβπ)
2) dividend payments over the holding period, π«π.
3
Q
Wealth relative =
A
End of period wealth /
Beginning of period wealth
4
Q
Variance = π2
A
ππ(π π β ΰ΄€π )2