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Page modified: Friday, June 23, 2006 20:29:03

The average annual size of the market is a operatingscientific index, which one needs among other things with the Portfolio analysis. It computes itself as follows:

\ [n] {\ frac {MV1 sqrt} {MV2}} - 1

MV1 is the size of the market at the time 1 (usually the current year), MV2 the size of the market at the time 2 (a year which is past further) and n is the difference from the two years, i.e. the number of years, which lie apart these measurements.


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