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Does history repeat itself? Would the precision increase if we used Weekly instead of monthly data? although higher-frequency data helps in estimating variances and covariance of returns it does not help in estimating expected returns Intuitively, what matters for expected return is the beginning and ending levels of prices over a given period but not what happens in betweenDoes history repeat itself? ◼ Would the precision increase if we used weekly instead of monthly data? Although higher-frequency data helps in estimating variances and covariance of returns, it does not help in estimating expected returns. ◼ Intuitively, what matters for expected return is the beginning and ending levels of prices over a given period, but not what happens in between
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