Examlex
Which of the following is true?
Historical Excess Returns
The returns on an investment or portfolio in excess of a benchmark or risk-free rate, assessed over a specific historical period.
Geometric Mean Return
The average rate of return on an investment that takes into account the effects of compounding.
Small-Firm Stocks
Equity shares of smaller companies that are often characterized by higher growth potential and higher risk compared to large-cap stocks.
Real Growth
Economic growth adjusted for inflation, reflecting the true increase in value of goods and services produced by an economy.
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