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prescience6631 t1_j2dit9k wrote

In excel use the below formula:

= Iferror((1+rand()-.5) ^ (1/252) - 1,0)

The above perfectly models your daily returns

Edit: like any good financial model the first draft has a massive/glaring error. The iferror statement should be (XXX, -100%) in this case (let’s call this v2) — hopefully no one made critical life investment decisions based on the v1 model.

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Coolguy69Christ t1_j2duju9 wrote

Bro here’s v2-edit12312022

=isnumber(iferror((1+rand()-.5)^(1/252)-1,0))

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prescience6631 t1_j2dut8g wrote

Appreciate the version tracking; however, you’re still gonna want that -100% instead of 0!

No reason daily returns should be floored at 0 — this is a sophisticated and conservative model!

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