Portfolio Management
19) The spreadsheet 1.1W,I_Q19 has weekly data for Apple and Royal Caribbean stocks over a three-year period, and weekly Fama-French Three Factor returns over the same time period.
a) What is the sample correlation between Mkis the fore and RCI. over t that the period?
b) If one is sitting at the end of the period, what cas fore future correlation between Mil and Ra. using the Fama French Three Factor Model?
c) Why is a) bigger or smaller than b)?