In: Finance
You are considering an investment in the stock market and have identified three potential stocks, they are Crown (ASX: CWN), Tencent (HKG: 0700) and Commonwealth Bank (ASX: CBA). The historical prices for the past 10 years are shown in the table below. Assume no dividend is distributed during this period.
Year |
Crown |
Tencent |
Commonwealth (CBA) |
2010 |
7.76 |
29.04 |
53.63 |
2011 |
8.57 |
40.40 |
52.15 |
2012 |
8.09 |
37.94 |
50.39 |
2013 |
11.59 |
54.28 |
64.10 |
2014 |
16.68 |
108.70 |
73.83 |
2015 |
13.61 |
132 |
88.85 |
2016 |
12.27 |
144.90 |
78.67 |
2017 |
11.4 |
204.40 |
81.66 |
2018 |
13.25 |
463.60 |
78.87 |
2019 |
11.95 |
346 |
69.91 |
Calculate the return and risk (standard deviation) of each stock.