© K. Cuthbertson and D. Nitzsche Figures for Chapter 5 BASIC STATISTICS (Investments : Spot and Derivatives Markets)

© K. Cuthbertson and D. Nitzsche Figure 5.1 : FTSE100 Price index (Jan Aug. 2000)

© K. Cuthbertson and D. Nitzsche Figure 5.2 : Monthly returns on FTSE100 (Jan Aug. 2000)

© K. Cuthbertson and D. Nitzsche Figure 5.3 : Histogram of monthly returns (General Motors)

© K. Cuthbertson and D. Nitzsche Figure 5.4 : Probabilities : Throwing a die

© K. Cuthbertson and D. Nitzsche Figure 5.5 : Two period stock price lattice Time t = 0 t = 1 t = 2 S = 100 SD = SU = 110 SU 2 = 121 SD 2 = SUD or SDU = 100 p = 0.6 (1- p) = 0.4 p = 0.6 U = 1.1 (D = 1/1.1)

© K. Cuthbertson and D. Nitzsche Figure 5.6 : Poisson distribution Panel A : = 3 Panel B : = 15

© K. Cuthbertson and D. Nitzsche Figure 5.7 : Standard normal distribution N(0,1)

© K. Cuthbertson and D. Nitzsche Figure 5.8 : Students’ t-distribution and the normal distribution  0    Normal distribution N(0,1) Students’ t-distribution (fat tails)

© K. Cuthbertson and D. Nitzsche Figure 5.10 : Regression analysis