The holding period return is an excellent method for comparing a short-term investment to a long-term investment.

Question

Quizplus · Accepted Answer

The holding period return is useful for analyzing the performance of an investment over a specific time period, but it may not be suitable for comparing short-term and long-term investments. Other measures such as annualized return or compound annual growth rate (CAGR) may be more appropriate for such comparisons.

The Holding Period Return Is an Excellent Method for Comparing