Logo
Home Study Material Contact Search
AI Chat FREE
  1. mathematics
  2. statistics
  3. a young investment manager tells his client that t

A young investment manager tells his client that the probability of making a positive return with...

50.1K

Verified Solution

Question

Statistics

A young investment manager tells his client that the probabilityof making a positive return with his suggested portfolio is 94%. Ifit is known that returns are normally distributed with a mean of6.2%, what is the risk, measured by standard deviation, that thisinvestment manager assumes in his calculation? (Round "z" value to2 decimal places and final answer to 2 decimal places. Note: if youget 7.52 % for your answer, enter it as .08. 7.52% is .0752, sorounding it to 2 decimal places gives .08)

Answer & Explanation Solved by verified expert
4.0 Ratings (514 Votes)
    See Answer
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Basic Math
1.2K views

The method of tree ring dating gave the following years A.D. for an archaeological excavation site....

Medical Sciences
1.2K views

Put the following items in order from the flow of sound waves to the production of...

Medical Sciences
1.2K views

     In what way does blood assist in immune function? A. Red blood cells transport gases. B. Albumins transport hormones. C. Plasma antibodies...

Chemistry
1.2K views

1) Calculate the maximum wavelength of radiation (corresponding to the minimum energy) necessary to eject a 1s...

Physics
1.2K views

A small space probe, of mass 240 kg, is launched from a spacecraft near Mars. It...

General Management
1.2K views

Analyze the group dynamics from THREE of your favorite television shows. See if you can identify the...

Biology
1.2K views

In a H W question about a recessive trait calculate first A 2pq B p2...

Physics
1.2K views

a a 4 P V 3V V c 6 P V d 15 P Vo...

Geometry
1.2K views

5 0 2 Points MY NOTES DETAILS ASK YOUR TEACHER Refer to the Archimedian solids...

Calculus
1.2K views

Write the Babylonian numeral as a Hindu Arabic num 1 The Hindu Arabic numeral is...

Algebra
1.2K views

Solve the equation p 10p 0 Enter any solution as an integer or reduced fraction...

Accounting
1.2K views

Show me the steps to solve Maben Company was started on January...