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Investment Returns & Risk PremiumsYou have now read about capital market efficiency and methods used to analyze it. These concepts are very important to corporations. They are also helpful to individual investors, especially as these concepts pertain to finding ways to mitigate risk in individual investments or within a portfolio. It is also important to understand the differences between average returns, arithmetic returns, and geometric returns. Finally, understanding risk premiums is important to understand to know why different investments offer varying rates of return.A 200- to 250-word explanation ofaverage returns, arithmetic vs. geometric averages, and risk premiums. Also, explain how the average investor could benefit by knowing these concepts in order to assume the least amount of risk.Be sure to support your work with specific citations from the Learning Resources and any additional sources.Read a selection of your colleagues’ postings.