Tactical asset allocation - Study guides, Class notes & Summaries

An asset-pricing model that attempts to explain how investors should behave is a(n): - Answer normative model. Normative models attempt to explain how investors should behave. Positive models attempt to explain how investors do behave. Theoretical models use assumptions and logic, while empirical models are based on historically observed behavior. Henry Thompson examines a sample of returns for a private equity fund and finds that the sample excess kurtosis equals 3. Regarding the private ...

Diversification - correct answer Acquiring assets with low or negative correlations to each other with the goal of lowering overall risk Correlation - correct answer - a relative measure of the degree to which the returns of two assets move together - range from +1.0 to -1.0 - in practice negative correlations are rare - the further a correlation is from +1.0, the more diversified Asset allocation - correct answer - the apportioning of available funds among a number of asset clas...

Gift splitting - ANSWER-Allows a married couple to double their allowable annual exclusions is only allowed for married couples Ownership limited to spouses only - ANSWER-Joint tenancy tenancy by the entirety community property Grantor retained interest Trust Grit - ANSWER-Grantor can receive all income earned by the trust Qualified terminable interest Property Trust Q-tip - ANSWER-Income of a Q-tip goes to the grantor's spouse Charitable lead Trust CLT - ANSWER-The income goes to c...

Analysis: Portfolio Analysis questions and answers with verified content Market risk is the same as: a. systematic risk b. non-systematic risk c. credit risk d. selection risk systematic risk Which of the following is NOT considered to be a cyclical stock? a. home appliance manufacturer b. automobile manufacturer c. natural gas producer d. home builder natural gas producer Which of the following industries is NOT considered to be defensive? a. pharmaceuticals b. buildi...

Reviewed Questions and Answers 2023(CAIA) An asset-pricing model that attempts to explain how investors should behave is a(n): - CORRECT ANSWER-normative model. Normative models attempt to explain how investors should behave. Positive models attempt to explain how investors do behave. Theoretical models use assumptions and logic, while empirical models are based on historically observed behavior. Henry Thompson examines a sample of returns for a private equity fund and finds that the...

BOMI FM Fundamentals Questions with 100% Correct Answers | Latest Version 2024 | Verified quality assessment - Facilities management responsibilities such as evaluating the effectiveness of service, benchmarking, management of audits, and development of innovative improvements What professional aspect of facilities management distinguishes it from related professions? - coordination across traditionally separate disciplinary lines How can a facilities manager best improve worker productiv...

Specific companies are researched and chosen as investments based on their outstanding investment possibilities by analysts who practice: - correct answer Bottom up analysts are looking for the next big, but as yet, undiscovered stock that will break onto the scene. Bottom up analysts start with the company, then the industry and finally the economic climate. Top-down starts with the economic climate, moves to the industry and then the company. Yo...

BOMI - FM Fundamentals Questions and Answers quality assessment Facilities management responsibilities such as evaluating the effectiveness of service, benchmarking, management of audits, and development of innovative improvements What professional aspect of facilities management distinguishes it from related professions? coordination across traditionally separate disciplinary lines Previous Play Next Rewind 10 seconds Move forward 10 seconds Unmute 0:07 / 0:15 Full s...

Portfolio Management questions and answers, latest updated |graded A+(2023) Diversification of a portfolio among asset classes: A increases the rate of return achieved over the investment time horizon B reduces the rate of return achieved over the investment time horizon C reduces the variability of the rate of return over the investment time horizon D increases the variability of the rate of return over the investment time horizon C. Diversification reduces the variability of invest...

Your firm is the managing underwriter of an initial public offering. How many days must the firm's research analyst wait before issuing a research report on this IPO? A. There is no waiting period and research may begin anytime after the effective date B. Three days C. 10 days D. 25 days - Answer- C. 10 days If a firm is involved in an underwriting of an initial public offering and is the manager or comanager, it must maintain a quiet period of 10 days following an IPO or three days follow...