6.Which is least likely to be considered one of the three integrative steps in the portfolio management process?

A)   Planning.

B)   Execution.

C)   Feedback.

D)   Developing an investment policy statement.

7.Which of the following best represents the general steps of the planning phase of the portfolio management process?

A)   Determining the investor's tax situation and unique circumstances.

B)   Determining investor objectives and constraints.

C)   Determining the investor's legal and regulatory environment.

D)   Determining the investor's time horizon.

8.Which of the following is not typically included in an investment policy statement?

A)   Names of specific managers or mutual funds that should be used.

B)   A client description.

C)   Identification of duties.

D)   Guidelines for portfolio adjustments.

9.Investor objectives relate to which of the following? Evaluating:

A)   capital market and security factors.

B)   asset allocation and security factors.

C)   risk and security factors.

D)   risk and return factors.

10.The objective of achieving a 10 percent annual rate of return is an example of a(n):

A)   absolute risk objective.

B)   relative risk objective.

C)   relative return objective.

D)   required return objective.

11.Which of the following does not relate to return objectives? Specifying:

A)   security-specific returns.

B)   return requirements.

C)   desired returns.

D)   portfolio real after-tax returns.

答案和详解如下：

6.Which is least likely to be considered one of the three integrative steps in the portfolio management process?

A)   Planning.

B)   Execution.

C)   Feedback.

D)   Developing an investment policy statement.

The correct answer was D)

The three integrative steps in the portfolio management process are planning, execution and feedback. Developing an IPS is part of the planning phase.

7.Which of the following best represents the general steps of the planning phase of the portfolio management process?

A)   Determining the investor's tax situation and unique circumstances.

B)   Determining investor objectives and constraints.

C)   Determining the investor's legal and regulatory environment.

D)   Determining the investor's time horizon.

The correct answer was B)

The two major steps in the planning phase are determining investor objectives and constraints. The other choices are subsets of this choice. Objectives are concerned with what an investor wishes or requires to happen with the investment portfolio. Objectives are mainly concerned with risk and return considerations. Constraints pertain to limitations placed on how portfolio objectives are achieved. Five primary constraints are associated with liquidity: time horizon, legal and regulatory, taxes, and unique circumstance considerations.

8.Which of the following is not typically included in an investment policy statement?

A)   Names of specific managers or mutual funds that should be used.

B)   A client description.

C)   Identification of duties.

D)   Guidelines for portfolio adjustments.

The correct answer was A)

General statements about how funds should be invested are included in the investment policy statements. It would not be wise to include specific manager/mutual funds, as the people involved in managing money change over time. Instead, asset allocation objectives should be used.

9.Investor objectives relate to which of the following? Evaluating:

A)   capital market and security factors.

B)   asset allocation and security factors.

C)   risk and security factors.

D)   risk and return factors.

The correct answer was D)

Investor objectives relate directly to the risk and return factors acceptable to the investor. Risk factors are associated with how much risk the investor can tolerate. Return factors relate to required and desired returns.

10.The objective of achieving a 10 percent annual rate of return is an example of a(n):

A)   absolute risk objective.

B)   relative risk objective.

C)   relative return objective.

D)   required return objective.

The correct answer was D)

The objective of earning a 10 percent return is a required return objective because it represents some level of return that must be acheived by the portfolio.

11.Which of the following does not relate to return objectives? Specifying:

A)   security-specific returns.

B)   return requirements.

C)   desired returns.

D)   portfolio real after-tax returns.

The correct answer was A)

Required and desired returns, specified in real after-tax levels, relate directly to the formulation of the investor’s return objective. Security-specific returns are important in analyzing potential additions to the portfolio, but do not come into play when specifying the overall portfolio return objective.