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Question 3 Conservative investors prefer to restrict portfolio managers' risk taking by keeping narrow ranges around asset classes and asset groups. For example, if the
Question 3 Conservative investors prefer to restrict portfolio managers' risk taking by keeping narrow ranges around asset classes and asset groups. For example, if the SAA allocates 20% to bonds, then a range of 18% to 22% for bonds is considered narrow compared with a range of 10% to 30%. Explain why narrow TAA ranges will result in tighter risk control
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