I just don’t get the answer. Short term rates are used in a currency overlay approach but we are considering an active management approach? I thought currency overlay meant that a different manager manges the FX risk but within the mandate of the IPS. I don’t see where we are given sufficient information to determine that? Also why would you not use short term rates in active currency management?作者: Gypsy 时间: 2013-4-22 13:32
Can you be more specific about which exam you’re talking about? CFA? Can’t be as only afternoon Qs so no Q18作者: LokiDog2 时间: 2013-4-22 13:32
The question specifically mention STRATEGIC asset allocation. Strategic = long term therefore short term rates are irrelevant. They would be important for tactical asset allocation.作者: islandgyrl 时间: 2013-4-22 13:33
mambo said 2011 Mock , Q18 . Should be obvious that means CFAI mock . Don’t know if Schweser ones are really popular in terms of past papers.作者: kamara5 时间: 2013-4-22 13:34
so answer the question for him smart ass. I have no idea where you get an afternoon CFAI 2011 mock from. The only mock in 2012 is a morning set. Hence my question
