## VAR concepts

missvidlalsare
Good Student
Posts: 14
Joined: Mon Jan 30, 2017 4:05 am

### VAR concepts

how VaR is determined by its mean distribution??

is there any formula to calculate VaR if mean distribution is given like say if return distribution has mean of zero or mean of 1 then how its gonna effect Var calculation??? is there any relation between mean given and the way VaR increases or decreases?? , if yes how much its decrease or increase?? is there any perfect formula for this??

if yes, can you please tell me????

edupristine
Finance Junkie
Posts: 946
Joined: Wed Apr 09, 2014 6:28 am

### Re: VAR concepts

Please refer to the attached solution file.
Attachments

missvidlalsare
Good Student
Posts: 14
Joined: Mon Jan 30, 2017 4:05 am

### Re: VAR concepts

but i didn ask for square root rule??? i knew it.....

i asked how VaR is determined by its mean distribution?? is there any formula to calculate VaR if mean distribution is given like say if return distribution has mean of zero or mean of 1 then how its gonna effect Var calculation??? is there any relation between mean given and the way VaR increases or decreases?? , if yes how much its decrease or increase?? is there any perfect formula for this??