Returns on asset classes are best described as being a function of: A. The failure of arbitrage.
Question:
Returns on asset classes are best described as being a function of:
A. The failure of arbitrage.
B. Exposure to the idiosyncratic risks of those asset classes.
C. Exposure to sets of systematic factors relevant to those asset classes.
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 100% (1 review)
C is correct Strategic asset allocation depends on several principles As stated in the read...View the full answer
Answered By
Asim farooq
I have done MS finance and expertise in the field of Accounting, finance, cost accounting, security analysis and portfolio management and management, MS office is at my fingertips, I want my client to take advantage of my practical knowledge. I have been mentoring my client on a freelancer website from last two years, Currently I am working in Telecom company as a financial analyst and before that working as an accountant with Pepsi for one year. I also join a nonprofit organization as a finance assistant to my job duties are making payment to client after tax calculation, I have started my professional career from teaching I was teaching to a master's level student for two years in the evening.
My Expert Service
Financial accounting, Financial management, Cost accounting, Human resource management, Business communication and report writing. Financial accounting : • Journal entries • Financial statements including balance sheet, Profit & Loss account, Cash flow statement • Adjustment entries • Ratio analysis • Accounting concepts • Single entry accounting • Double entry accounting • Bills of exchange • Bank reconciliation statements Cost accounting : • Budgeting • Job order costing • Process costing • Cost of goods sold Financial management : • Capital budgeting • Net Present Value (NPV) • Internal Rate of Return (IRR) • Payback period • Discounted cash flows • Financial analysis • Capital assets pricing model • Simple interest, Compound interest & annuities
4.40+
65+ Reviews
86+ Question Solved
Related Book For
Investments Principles Of Portfolio And Equity Analysis
ISBN: 9780470915806
1st Edition
Authors: Michael McMillan, Jerald E. Pinto, Wendy L. Pirie, Gerhard Van De Venter, Lawrence E. Kochard
Question Posted:
Students also viewed these Business questions
-
In a Hopfield neural network configured as an associative memory, with all of its weights trained and fixed, what three possible behaviours may occur over time in configuration space as the net...
-
Let A, B be sets. Define: (a) the Cartesian product (A B) (b) the set of relations R between A and B (c) the identity relation A on the set A [3 marks] Suppose S, T are relations between A and B, and...
-
QUIZ... Let D be a poset and let f : D D be a monotone function. (i) Give the definition of the least pre-fixed point, fix (f), of f. Show that fix (f) is a fixed point of f. [5 marks] (ii) Show that...
-
4 pts A lottery winner will receive $0.5 mulhon at the end of each of the next se yearn. What is the future value of her winnings at the time of her final payment, given that the interest rate is 6%...
-
Old Faithful is a geyser in Yellowstone National Park that erupts at relatively predictable intervals. Since 2000, the eruptions of Old Faithfull occur on average every 90 minutes. Information on the...
-
Monetarists are most likely to believe that: A. there is a causal relationship running from inflation to money. B. inflation can be affected by changing the money supply growth rate. C. rapid...
-
\(18 <20\) Determine if the comparison is true or false.
-
Marwick Innovations, Inc. produces exercise and fitness gear. Two of its newer products require a finishing process that can only be completed on machines that were recently purchased for this...
-
Alex Company had the following inventories at the beginning andend of the month of January:January 1January 31Finished goods$125,000$117,000Work-in-process235,000251,000Direct mate 2 answers
-
The timing of payouts for property and casualty insurers is unpredictable (lumpy) in comparison with the timing of payouts for life insurance companies. Therefore, in general, property and casualty...
-
A client who is a 34-year-old widow with two healthy young children (aged 5 and 7) has asked you to help her form an investment policy statement. She has been employed as an administrative assistant...
-
Odessa Mae French operated the Pines Motel as a house of prostitution for seven years. During that time, Ms. French avoided any local law enforcement action by allowing the sheriff to have free...
-
Explain the significance of the following: stable node, unstable node, saddle point, focus, and center.
-
Give an example of a system that leads to an equation of motion with time-dependent coefficients.
-
What is a secular term?
-
Explain the difference between subharmonic and superharmonic oscillations.
-
What is the difference between a hard spring and a soft spring?
-
List the various elements of financial modeling.
-
Select a mass spectrometric technique with the highest mass resolution for identifying an unknown compound being eluted from a liquid chromatography column
-
The three different levels of government (federal, state, and local) must impose taxes to carry out their functions. For each of the types of taxes below, discuss which level of government primarily...
-
A good tax structure has five characteristics. a. Briefly discuss the five characteristics. b. Using the five characteristics, evaluate the following tax structures: 1. Federal income tax 2. State...
-
Two commonly-recognized measures of the fairness of an income tax structure are horizontal equity and vertical equity. a. Discuss what is meant by horizontal equity and vertical equity as it pertains...
-
10 health and safety performance indicators 2 answers
-
To take this a step further, what are the project close activities? 2 answers
-
Problema 10-8Dados los siguientes datos para el nmero de defectos porcarrete de cable.OBSERVACI?N1234567891011121314Nmero de defectos231013202131 0 answers
Study smarter with the SolutionInn App