Terms covered: Skewness, Sample skewness, Skewed distribution, Normal distribution, Mean, Mode, Median, Kurtosis, Excess kurtosis, Sample kurtosis, Leptokurtic distribution, Mesokurtic distribution, Platykurtic distribution
1. A distribution has a skewness value of +0.8. This distribution is likely:
2. A distribution has an excess kurtosis of 1.5. This distribution is likely:
3. A normal distribution has a kurtosis of:
4. If a security’s return distribution exhibits significant negative skewness (e.g., skewness = -0.9), this suggests, compared to a normally distributed asset:
5. An investment with a leptokurtic return distribution (positive excess kurtosis) is generally considered: