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30) e risk-fr Kingdom is 9 ratein the United States is 4%, while the riatu..wh on the British 31) Passive investors with well-diversified can safely

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30) e risk-fr Kingdom is 9 ratein the United States is 4%, while the riatu..wh on the British 31) Passive investors with well-diversified can safely ignore all political riek in emering,mak b) can expect very large diversification oins trom hes e) do not need to be concerned with hedging exposure to d) can expect returns to be better than the EAFE on )S191 215 32) A currency hedged foreign returns in local currency. Also, for world indexes is likely to produce a better portfolio. a) true, false b) false, true stock portfolioeturn is the weighted averags of the seuins nvestor, a capitalization weighted potfolie of risk-retun trade-off than the minimum-variance dj true, true c) false, false 33) You invest in various broadly diversified inlermauworry about a portfolio. The one risk you probably don'thave u)inflation ly diversified international mutual funds as well as your US to worry about affecting your returns is d) currency risk top six countries in the world in terms of market capitalization investor but probably does make sense for a inveatot a) business-cycle risk you probably don't ha b) beta risk c) inflation risk e) technical, fundamental d) fundamental c 34) Limiting investments to the top in the likely veni.-per-dollar forward rate is 105. If the US. risk-free kely yen risk-freerate? a)2.35%b)3.98% ) 439% d) 535% does not make sense for a , a) passive, active b) active, Ve, passive ) 398 The yen-per-doll . The yen-per-dolla rate is 2.4%, what is the likely yen risk-free 35) The yen-per ar spot rate is 103. 36) You manage

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