Investment timing matters a lot. Consider the following return over a period of 6 years....
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Investment timing matters a lot. Consider the following return over a period of 6 years. Assume you invested $1,000 today and further assume that you cashed in an took out $500 at the end of the second year. What is the IRR of your investment over the 6 year investment horizon?
Question 17 (Mandatory) (1 point) Investment timing matters a lot. Consider the following return over a period of 6 years. year 1: 10% year 2: -10% year 3: 10% year 4: -10% year 5: 10% year 6: -10% Arith Avg 0.00% 0.10 Std. Deviation (10%) Assume you invested $1,000 today and further assume that you cashed in and took out $500 at the end of the second year. What is the IRR of your investment over the 6 year investment horizon? -0.50% - 1.09% -0.99% 0.10% 0.45%
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