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arithmetic mean average

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Financial Dictionary

Arithmetic Mean Average

The average return from a series of returns over a period of time. Calculated by dividing the sum of the series by the number of observations.

Investopedia Commentary

Most commonly referred to as "the mean".

Related Links

Moving Averages Tutorial
Basics of Moving Averages

See also: Actual Return, Harmonic Average, Mean, Moving Average - MA, Real Rate of Return, Simple Moving Average - SMA, Technical Analysis

Also spelled: Simple Moving Average, SMA

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