standard-deviation

The textbook has the following solved exercise in chapter 6 After obtaining the 5.23% figure, I would have set it equal to Standard Error * Critical T like described in equation 6.4 of the textbook. Since we are given n = 37, I would have expected the standard deviation to be calculated...

Hello @David Harper CFA FRM , sorry to bother you again, but I did not know where to put this question about Meissner's Example 1.2 of VaR for a two-asset portfolio. (Should I create a new thread for questions like this in the future?) On the table, the 'Deviate' is written as 2.326. However...

I have come across this question and cannot seem to do the calculation in the BA II calculator. The question is: Use the probability distribution to calculate the standard deviation for the portfolio State of economy Prob Return Boom 0.30 15% Bust...

I'm having trouble understanding when is the correct time to use a standard error vs a standard deviation in the denominator in hypothesis testing?

Learning objectives: Estimate the mean, variance, and standard deviation using sample data. Explain the difference between a population moment and a sample moment. Distinguish between an estimator and an estimate. Describe the bias of an estimator and explain what the bias measures. Questions...

How will we solve the same by problem by using 70 and 30 percent probability sum by taking probailiy 70 and 30

The simple, common approach to estimating volatility is historical standard deviation. Here is a thread about the decision to include/exclude the mean return: https://trtl.bz/2kLRK7z David's XLS is here: https://trtl.bz/2kOmHb6

The skew is the third central moment divided by the cube of the standard deviation. Here I calculate skew using the binomial distribution.

Learning objectives: Interpret and apply the mean, standard deviation, and variance of a random variable. Calculate the mean, standard deviation, and variance of a discrete random variable. Interpret and calculate the expected value of a discrete random variable. Questions: 710.1. The...