I’m on the Global Performance readings. CFAi Page 206 & 209. Recall this formula Return = CG + Div + Currency, where Currency = e(1 + CG + Div) in the given example in Yen, shouldn’t the return be .10+ 0 + -.05(1 + .10)? I’m missing something small, i think it’s the e part(which is change in local currency %). i thought e was (105Y - 100Y) / 100Y = .05(loss in Y). if you do the inverse( $/ Yen) you get .009524 - .01/.01 = -.0476. I can’t seem to figure out what this discrepency is, please help!
Note: on page 209 on CFAI, they use .0476…not sure why its not .05 as illustrated above.