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geometric mean |
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geometric meanIn mathematics, the nth root of the product of n positive numbers. The geometric mean m of two numbers p and q is such that m = √(p × q). For example, the geometric mean of 2 and 8 is √(2 × 8) = √16 = 4. |
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? Mentioned in | ? References in periodicals archive | |
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MICRO-CAPS ARE DEFINED AS FUNDS WITH GEOMETRIC AVERAGE MARKET CAPS OF $350 MILLION OR LESS. Advisers would be wise to add more questions to their due diligence checklist for Monte Carlo simulation software that includes: does the package contain normal or log-normal distributions; cross, serial and cross-serial correlation; standard deviations; and arithmetic or geometric average returns? The geometric average over the 2-year period is zero; the arithmetic average of + 100 percent and -50 percent annual rates of return is +25 percent. |
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