Jo Edward E.

Aguila
BSBA3FM
Year (s) PLDT Inc. Philam Strategic Growth
(Return) Fund (Return)

1 24.14% 6.89%

2 22.03% 5.26%

3 23.37% 3.45%

4 23.14% 6.25%

5 15.21% 6.89%

PLDT Inc.

120%

100%

80%

60%
average return
40%
Year 1 Year 3 Year 4
Year 2
Year 5
20%

0%

-20%

Year (s) Return ( PLDT Inc.) Difference from 10% Differences Squared
average

1 24.14% 14.14% 199.94

2 22.03% 12.03% 144.72
3 23.37% 13.37% 178.76
4 23.14% 13.14% 172.66
5 15.21% 5.21% 27.14
723.22
Add: Column D

(the total is 723.22)

We divide that number by the number of time periods minus one (5-1=4; this is called the
"nonbiased" approach and it is important to remember that some calculate standard deviation
using all time periods -- 5 in this case rather than4). Then we take the square root of the result. It
looks like this:

Standard deviation = √(723.22/4)= √180.81 =0.1345

Philam Strategic Growth Fund

120%

100%

80%

60%
average return
40%

20%
Year 1 Year 2 Year 4 Year 5
Year 3

0%

-20%

Year Philam Strategic Difference from 10% Differences Squared

Growth Fund (Return) average
1 6.89% -3.11% 9.67
2 5.26% -4.74% 22.47
3 3.45% -6.55% 42.9
4 6.25% -3.75% 14.06
5 6.89% -3.11% 9.67
89.1

Add: Column D

(the total is 89.1)

 We divide that number by the number of time periods minus one (5-1=4; this is called the
"nonbiased" approach and it is important to remember that some calculate standard deviation using all
time periods -- 5 in this case rather than4). Then we take the square root of the result. It looks like this:

Standard deviation = √(89.1/4)= √22.28 = 0.4719

I conclude that based on the standard deviation the stock of PLDT Inc. is less volatile
which has 0.1345 standard deviation while the Philam Strategic Growth Fund is more volatile that
has a standard deviation of 0.4719

References:

https://www.financials.morningstar.com/ratios/r.html?t=PHTCF

http://invest.healthypinoy.com/mutual-fund/mutual-fund-list.html