5.

Brian Griffin selects stocks for his portfolios by actively searching for undervalued stocks and then buying them. He doesn't try to spread his portfolio across asset classes, sectors or industries. The strategy that Brian is following is called

	A.	Bear Spread
	B.	Bull Spread
	C.	Top-down
	D.	Bottom-up

7. For an investor with risk aversion index A=4, which portfolio is preferable?

	A.	Risk-free asset with an expected return of 4%
	B.	Portfolio C with an expected return of 12% and standard deviation of 20%
	C.	Portfolio B with an expected return of 10% and standard deviation of 17%
	D.	Portfolio A with an expected return of 8% and a standard deviation of 13%