Capitalization method

Definition:

A method of constructing a replicating portfolio in which the manager purchases a number of the most highly capitalized names in the stock index in proportion to their capitalization.

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Copyright © 2011 Campbell R. Harvey, Professor of Finance, Fuqua School of Business at Duke University

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Statistical inference

A statistical method of drawing conclusions on unknown properties of a population based on a random sampling of data from that population.

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