1. Active managers may generate active risk by: [SELECT ALL THAT APPLY] options:

i.market timing

ii.security selection

iii.using leverage

iv.matching the benchmark portfolio

2. The limitations of using value at risk (VaR) include: [SELECT ALL THAT APPLY] options:

i.It applies to all assets.

ii.It is easy to understand.

iii.There are a variety of accepted methods with no clear best option to calculate.

iv.It is only as good as the assumptions used in calculating it.

3.The value of active management can be measured using: [SELECT ALL THAT APPLY]

i.Value at Risk

ii.benchmark portfolios

iii.multifactor models

iv.information ratios