System Of Equations, Generalized Linear Model, Linear Regression, Covariance Matrix, Kronecker Product.
what T-bills are) that are due in 3 months is basically zero. Thus in equation (1), the term (r_it — r_ft) is the risk-free rate of return on asset i at time t over a specific trailing period. It is the excess return that one would get upon investing in asset i at time t instead of just having