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Basic Question 3 of 9
From 1900 to 2008, ______
B. the standard deviation of returns from T-bills was 0.
C. T-bills suffered very little from interest rate risk.
A. T-bills never earned a negative real return in any year.
B. the standard deviation of returns from T-bills was 0.
C. T-bills suffered very little from interest rate risk.
User Contributed Comments 1
| User | Comment |
|---|---|
| johntan1979 | pages.stern.nyu.edu/~adamodar/New_Home_Page/datafile/histret.html Good reference to see the "risk" of investing in T bills over a long period of time. Not sure why the T bill return in 1938 is not negative as described in the answer. |
I am using your study notes and I know of at least 5 other friends of mine who used it and passed the exam last Dec. Keep up your great work!
Barnes
Learning Outcome Statements
describe characteristics of the major asset classes that investors consider in forming portfolios
CFA® 2025 Level I Curriculum, Volume 2, Module 1.