If a japanese investor had purchased a mutual fund that


The following were the closing year-end prices of the Japanese stock market index, the Nikkei- 225:

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Assume that each historical rate of return was exactly one representative scenario (independent sample draw) that you can use to estimate the future.

If a Japanese investor had purchased a mutual fund that imitated the Nikkei-225, what would her annual rates of return, compounded rate of return (from the end of 1984 to the end of 2007), average rate of return, and risk have been?

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Financial Management: If a japanese investor had purchased a mutual fund that
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