Serena is a risk analyst in Golden Investment Group. She is monitoring the return volatility of Security Alpha based on a 12-month lookback window of monthly returns. She calculated the standard deviation of the monthly returns of 3%. Which of the following is most likely correct?
Serena is a risk analyst in Golden Investment Group. She is monitoring the return volatility of Security Alpha based on a 12-month lookback window of monthly returns. She calculated the standard deviation of the monthly returns of 3%. Which of the following is most likely correct? A.The implied volatility of semi-annual returns is 18%.; B.The implied volatility of semi-annual returns is 7.35%.; C.The estimated volatility of semi-annual returns is 18%.; D.The estimated volatility of semi-annual returns is 7.35%.