one allocation quiz allocation, management, active

LBriscoe

tactical asset allocation is

A active management and momentum
B active management and contrarian
C passive management and contrarian

canadiananalyst

ditto, B...

zwjy

another question

the relatively constant elements in the asset allocation process are:

Roflnadal

someone care to explain why B -- i get the active management part, but why contrarian specifically?



Edited 1 time(s). Last edit at Thursday, June 2, 2011 at 03:57PM by stevenevans.

cityboy

question 3
two advantages of incorporating equilibrium returns in Black Litterman

nannan66

goodman2011 Wrote:
-------------------------------------------------------
> another question
>
> the relatively constant elements in the asset
> allocation process are:

Risk Tolerance Procedure, Capital Markets Expectation Procedure and Optimizer



Edited 2 time(s). Last edit at Thursday, June 2, 2011 at 03:58PM by Paraguay.

IAmNeil

Question 1 answer B

TAA is based on the assumption that market is mean reverting and is active management at the asset class level.

infinitybenzo

Paraguay Wrote:
-------------------------------------------------------
> goodman2011 Wrote:
> --------------------------------------------------
> -----
> > another question
> >
> > the relatively constant elements in the asset
> > allocation process are:
>
> Risk Tolerance Procedure, Capital Markets
> Expectation Procedure and Optimizer

Prediction Procedure, Risk Tolerance Function and Optimizer.

Thanks had to go back and get the exact terms.

Valores

question 3
two advantages of incorporating equilibrium returns in Black Litterman

makes for a more stable and mean efficient portfolio

dyga

question 2 answer Prediction Procedure, Risk Tolerance Function and Optimizer

question 3 dampen extreme views investor hold that could otherwise dominate the optimization
ensure greater consistency across estimates