Great video! It helped me remember material from class a few years ago. I just started my CFA 1 prep. Do you have any help on how to interpret the data itself; what is it really telling the analyst aside from which assets have more/less correlated movement?
Hi Ronald， thanks for the explanation. As from my understand we can actually compute the covariance using the formula = correlation(a,b) * std deviation A * std deviation B. But I realise that the output of covariance is significantly different from the covariance output of the data analysis in excel. Can I know which one should I refer to?
It's a statistics thing that you lose a degree of freedom when calculating the mean. For those of us who are not statisticians, it doesn't seem all that meaningful.
thank you, Ronald!! great video explanation
Thank you so much, sir.
Great video! It helped me remember material from class a few years ago. I just started my CFA 1 prep. Do you have any help on how to interpret the data itself; what is it really telling the analyst aside from which assets have more/less correlated movement?
Hi Ronald， thanks for the explanation. As from my understand we can actually compute the covariance using the formula = correlation(a,b) * std deviation A * std deviation B. But I realise that the output of covariance is significantly different from the covariance output of the data analysis in excel. Can I know which one should I refer to?
Thank you so much for the video!!!!! Just a question, what is the reasoning behind the number for the sample? Amazing video
It's a statistics thing that you lose a degree of freedom when calculating the mean. For those of us who are not statisticians, it doesn't seem all that meaningful.
@@RonaldMoy oh yeah degrees of freedom. It’s been a while since I did a task like this so I forgot. Thanks for the prompt reply! :D
thank you so much !
how did you calculate expected return
I just took the average.
Thank you!