标题: Reading 70: The Portfolio Management Process and the Investm [打印本页]
作者: 土豆妮 时间: 2011-3-29 15:45 标题: [2011]Session 18-Reading 70: The Portfolio Management Process and the Investm
Session 18: Portfolio Management: Capital Market Theory and the Portfolio Management Process
Reading 70: The Portfolio Management Process and the Investment Policy Statement
LOS a: Explain the importance of the portfolio perspective.
Which one of the following alternatives correctly outlines the importance of the portfolio perspective?
|
A) |
Market participants should attempt to eliminate the unsystematic risk associated with each security by forming portfolios that will diversify away this risk. | |
|
B) |
Market participants should focus on the systematic risk of the components of a portfolio not the unsystematic risk of the components of a portfolio. | |
|
C) |
Market participants should analyze the risk-return trade-off of a portfolio as a whole, not the risk-return trade-off of the individual investments in a portfolio. | |
The key underlying principle of the portfolio perspective is that market participants should analyze the risk-return trade-off of the portfolio as a whole, not the risk-return trade-off of the individual investments in the portfolio.
作者: 土豆妮 时间: 2011-3-29 15:45
Equity pricing models assume which risk is priced?
|
|
|
B) |
Both systematic and unsystematic. | |
|
|
Unsystematic risk can be diversified away. Thus, equity-pricing models are designed to reflect only systematic risk. It is assumed that the portfolio manager will take steps to diversify and reduce risk.
作者: 土豆妮 时间: 2011-3-29 15:45
Diversification can reduce:
Systematic risk reflects factors that have a general effect on the security markets as a whole, and cannot be diversified away. Macroeconomic risk comes in many forms, and it is usually considered systematic risk. Unsystematic risk can be reduced through diversification.
| 欢迎光临 CFA论坛 (http://forum.theanalystspace.com/) |
Powered by Discuz! 7.2 |