1. Given the data in the prior question, what is the standard deviation of return from the point of view of a U.S. investor and of a U.K. investor?
2. For the following returns:
|
Period
|
United States
|
Japan
|
Exchange Ratea
|
|
1
|
12%
|
18%
|
200
|
|
2
|
15%
|
12%
|
180
|
|
3
|
5%
|
10%
|
190
|
|
4
|
10%
|
12%
|
150
|
|
5
|
6%
|
7%
|
170
|
|
6
|
|
|
180
|
What is the average return in each market from the point of view of a U.S. and a Japanese investor?