Hey everyone, I'm learning about portfolio optimization and in order to construct an optimal portfolio, i want to calculate the historical mean return and historical standard deviation of each asset in the portfolio.
assuming i have the daily adjusted close price of a stock/mutual bond over the last year (or more) period. what is the correct or best way to annualize this data, in order to find the expected annual return and standard deviation?
1.Is it best to use the daily/weekly/monthly returns?
2.How the returns should be annualized?
Submitted October 22, 2017 at 03:47AM by jamesd5th http://ift.tt/2zu4sNs
