There is a 68 chance that future monthly stock returns will


A stock has earned average monthly returns of 0.82?% with a standard deviation of 11.41?% during the past 5 years. Assuming that montly stock returns of individual stocks are normally distributed and that future returns are expected to follow the same distribution as past realized? returns, what is the 68% confidence interval for this? stock's future monthly? returns? (Hint: Remember the? 68-95-99.7% rule we covered in? class: that? % of observations fall within? 1, 2, 3 sigmas around the? mean, respectively.

There is a 68% chance that future monthly stock returns will fall between a minimum of _____% and a maximum of _______%.

?(Round to two decimal? points.)

Request for Solution File

Ask an Expert for Answer!!
Financial Management: There is a 68 chance that future monthly stock returns will
Reference No:- TGS02652063

Expected delivery within 24 Hours