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You can't really combine the assets' log returns. You should calculate percentage returns for the three assets. Then at each time step, the portfolio's total return is: $r(i) = 0.5 \times \text{asset1_return}(i) + 0.25 \times \text{asset2_return}(i) + 0.25 \times \text{asset3_return}(i)$ Once you've calculated the time series of the portfolio's returns, ...


Given that other corporate events are reasonably modelled through regression models (compare The Detection of Earnings Manipulation I would try for using an regression approach. I believe a more recent and related paper has been published but I don't seem to find it at this time. Edit: and now I did - Earnings Manipulation and Expected Returns That said, ...

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