7 Beta Homework

Here’s a summary of how homework for the Math Circles program works.

Students need to join their Wikispace by entering a join code (this needs be entered only once, then you are a member for the whole year). Instructors will provide join codes in the first few classes.

Wikispace links:

Read this homework guide to learn what good homework habits are.

Online tutorial schedule:
Students are encouraged to attend. Access to the online tutorial is through your Wikispace. Please check the date before each tutorial as it may change.

Alpha, Beta, Gamma & Delta tutorials are about one hour long.

Epsilon, Omega & Calculus tutorials run as Open Office Hours. The sessions will last about 1.5 hours, and students from any of the three levels can drop in and get support.

ClassAlphaBetaGammaDeltaEpsilonOmegaCalculus
Tutorial #1Wed, Oct 11Wed, Oct 11Tues, Oct 10Tues, Oct 10Thu, Oct 12Thu, Oct 12Thu, Oct 12
Tutorial #2Mon, Oct 23Mon, Oct 23Thu, Oct 26Thu, Oct 26Wed, Oct 25Wed, Oct 25Wed, Oct 25
Tutorial #3Wed, Nov 15Wed, Nov 15Wed, Nov 8Wed, Nov 8Mon, Nov 6Mon, Nov 6Mon, Nov 6
Tutorial #4Wed, Nov 22Wed, Nov 22Mon, Nov 20Mon, Nov 20Sat, Nov 25Sat, Nov 25Sat, Nov 25
Tutorial #5Mon, Dec 4Mon, Dec 4Thu, Dec 7Thu, Dec 7Wed, Dec 6Wed, Dec 6Wed, Dec 6
Tutorial #6Thu, Dec 21Thu, Dec 21Wed, Dec 20Wed, Dec 20Mon, Dec 18Mon, Dec 18Mon, Dec 18
Tutorial #7Wed, Jan 17Wed, Jan 17Mon, Jan 15Mon, Jan 15Thu, Jan 18Thu, Jan 18Thu, Jan 18
Tutorial #8Mon, Jan 29Mon, Jan 29Thu, Feb 1Thu, Feb 1Wed, Jan 31Wed, Jan 31Wed, Jan 31
Tutorial #9Thu, Feb 15Thu, Feb 15Wed, Feb 14Wed, Feb 14Fri, Feb 16Fri, Feb 16Fri, Feb 16
Tutorial #10Wed, Feb 28Wed, Feb 28Fri, Mar 2Fri, Mar 2Fri, Feb 23Fri, Feb 23Fri, Feb 23
Tutorial #11Mon, Mar 5Mon, Mar 5Wed, Mar 7Wed, Mar 7Sat, Mar 3Sat, Mar 3Sat, Mar 3
Tutorial #12Mon, Mar 19Mon, Mar 19Wed, Mar 21Wed, Mar 21Sat, Mar 17Sat, Mar 17Sat, Mar 17
Tutorial #13Wed, Apr 11Wed, Apr 11Mon, Apr 9Mon, Apr 9Thu, Apr 12Thu, Apr 12Thu, Apr 12
Tutorial #14Mon, Apr 23Mon, Apr 23Wed, Apr 25Wed, Apr 25Sun, Apr 22Sun, Apr 22Sun, Apr 22
Tutorial #15Mon, May 7Mon, May 7Wed, May 9Wed, May 9Sat, May 5Sat, May 5Sat, May 5
Tutorial #16Mon, May 21Mon, May 21Wed, May 23Wed, May 23Sat, May 19Sat, May 19Sat, May 19

 

Tutorial times

ClassWiz IQ Tutorial Times
Alpha6:30pm – 7:30pm
Beta7:30pm – 8:30pm
Gamma6:30pm – 7:30pm
Delta7:30pm – 8:30pm
Epsilon6:30pm – 8:00pm on weekdays

12:00pm – 1:30pm on weekends

Omega
Calculus

 

Economics 133 - HOMEWORK 3 – SOLUTIONSCHAPTER 7 QUESTIONS 1. CH.7.20 Two investment advisers are comparing performance. One averaged a 19% return and the other a 16%. However, the beta of the first adviser was 1.5, while that of the second was 1.0 a. Can you tell which adviser was a better selector of individual stocks (aside from the issue of general movements in the market? In order to determine which investor was a better selector of individual stocks we look at the abnormal return, which is the ex-post alpha; that is, the abnormal return is the difference between the actual return and that predicted by the SML. Without information about the parameters of this equation (i.e., the risk-free rate and the market rate of return) we cannot determine which investment adviser is the better selector of individual stocks. b. If the T-bill rate were 6% and the market return during the period were 14%, which adviser would be the superior stock selector? If rf = 6% and rM = 14%, then (using alpha for the abnormal return): alpha1 = 19% - [6% + 1:5(14%- 6%)] = 19% - 18% = 1% alpha2 = 16% - [6% + 1:0(14%- 6%)] = 16% - 14% = 2% Here, the second investment adviser has the larger abnormal return and thus appears to be the better selector of individual stocks. By making better predictions, the second adviser appears to have tilted his portfolio toward under-priced stocks. c. What if the T-bill rate were 3% and the market return 15% If rf = 3% and rM = 15%, then: alpha1 = 19% - [3% + 1:5(15% - 3%)] = 19% - 21% = -2% alpha2 = 16% - [3% + 1:0(15% - 3%)] = 16% - 15% = 1% Here, not only does the second investment adviser appear to be a better stock selector, but the first adviser's selections appear valueless (or worse).

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