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Discuss the two schools of thought on exchange rate forecasting.
Normal Distribution
A statistical distribution that is uniform around the average, indicating that observations close to the mean are more common than observations distant from the mean.
Standard Deviation
A measure of the amount of variation or dispersion of a set of values; used in finance to quantify the risk of an investment.
Capital Gain
The profit earned from the sale of an asset, such as stocks or real estate, which exceeds its purchase price.
Dividend Yield
A metric showing the yearly dividend payment of a company as a proportion of its stock price.
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