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Business, 03.08.2020 22:01 ellarsteers

You observe a portfolio for five years and determine that its average return is % and the standard deviation of its returns in %. Would a 30% loss next year be outside the 95% confidence interval for this portfolio? The low end of the 95% prediction interval is nothing%. (Enter your response as a percent rounded to one decimal place.) A. Yes, you can be confident that the portfolio will not lose more than 30% of its value next year. This is because the low end of the prediction interval is less than 30%. B. No, you cannot be confident that the portfolio will not lose more than 30% of its value next year. This is because the low end of the prediction interval is greater than 30%. C. Yes, you can be confident that the portfolio will not lose more than 30% of its value next year. This is because the low end of the prediction interval is greater than 30%. D. No, you cannot be confident that the portfolio will not lose more than 30% of its value next year. This is because the low end of the prediction interval is less than 30%.

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