One approach to forecasting returns is to use historical data. What are three (3) limitations of this approach?
Question
One approach to forecasting returns is to use historical data. What are three (3) limitations of this approach?
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Solution 1
The use of historical data to forecast returns has several limitations:
- Past Performance is Not Indicative of Future Results: This is a common disclaimer in the investment world, and for good reason. Just because an asset has performed well in the past does not guarantee it will do so in the fut Knowee AI StudyGPT is a powerful AI-powered study tool designed to help you to solve study prob
Knowee AI StudyGPT is a powerful AI-powered study tool designed to help you to solve study problem.
Knowee AI StudyGPT is a powerful AI-powered study tool designed to help you to solve study problem.
Knowee AI StudyGPT is a powerful AI-powered study tool designed to help you to solve study problem.
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