Calculate monthly returns and average monthly returns

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Reference no: EM1376225

Choose two firms from different industrial sectors, e.g. high tech computers, health, customer non durables (food, personal services, retailers), cyclical (mining/metals, forestry, oil & gas), etc. Note that one of the companies will be the subject of your term paper assignment described below. Ensure that you can obtain the minimum of 5 years of monthly pricing data required below.
Obtain at least 5 years of monthly data on prices.
Obtain at least 5 years of monthly data on a broad based market indicator (S&P 500, Russell 3000, Wilshire 5000, etc.; do not use the Dow Jones Industrials Average).
Calculate monthly returns, average monthly returns, standard deviation of returns, and correlations of returns.
Plot prices of stocks & market indicator all vis-à-vis a beginning value of 100 (time series).

Reference no: EM1376225

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