Showing posts with label E(R). Show all posts
Showing posts with label E(R). Show all posts

Wednesday, July 25, 2012

Formulas for Return of Securities

To compute the Holding period return, holding period yield, expected rate of return, annual HPR, arithmatic mean, geometric mean, standard deviation for historical returns as well as future returns we have extracted some formulas from Reilly/Brown's "Investment Analysis and Portfolio Management". These formulas are as follows -