CFA CFA Level 1 sample standard deviation

sample standard deviation

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    • Avatar of pcunniffpcunniff
      Participant
        • CFA Level 1
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        9
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        For those using Kaplan – can someone explain why the book example on page 117 of book 1 takes the squared root of the sample variance to get your answer? On the question below … you are using the formula from the book. Trying to understand when to use the formula from the book vs simply taking the sq root.

        A sample of returns for four randomly selected assets in a portfolio is shown below:

        Asset Return (%)

        A 1.3

        B 1.4

        C 2.2

        D 3.4

        A)

        0.88%.

        B)

        1.13%.

        C)

        0.97%.

      • Avatar of fp92fp92
        Participant
          • CFA Level 1
          Up
          1
          ::

          Sorry i don’t have the book, hence don’t follow your question. Std deviation is just square root of variance.

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