Welcome to exercise 13 and we are here on the Jupiter dashboard and uh our exercise this file is still
on the desktop
and we're on path to financial data analysis and we open the top of the notebook for exercise.
13
and you will have the opportunity to perform some advanced analysis techniques so for example rolling
statistics and financial reporting.
And also here we have the new structure.
So we have option one self guided and the first of all you have to impart the Dow Jones Industrial Average
Index which is the most well known index in the US containing 30 large U.S. stocks.
And actually your sort.
Great.
Simply moving ever it's us 50 and 200 and calculate the Visualize and compare them and then you sort
verify a simple moving ever just the momentum strategy then we are going to financial reporting and
calculate the 36 months the rolling mean return and rolling standard deviation of returns for the Dow
Jones index and this would also indicate whether that's a positive or negative correlation between risk
and return.
And then you ask to import the S&P 500 Total Return Index and create the return triangle.
So in the video lectures that we created the return triangle for the S&P 500 price return index and
now it's your turn to analyze the total return.
So that means including dividends and you should verify whether there is any period of eleven years
or longer where investors lost money with the S&P 500.
And finally you sort of calculate and visualize the 36 a month rolling correlation between the two indexes
S&P 500 and Dow Jones and the supposed indexes that cover large U.S. companies.
So there should be a higher correlation but it's interesting to see how the correlation evolves over
time.
So the correlation is not fixed over time and of course all of us have option to guided and instructed.
And you can find the instruction and guidance for all of the questions and finally in the end there
is also here the in section giving you even more help and guidance.
And this is exercise 13.
I hope you have fun and feel free to have a look also at these solutions by.