uestion 3 Financial intermediaries have evolved because: ot yet nswered O a. two of the answers are correct larked out of DO b. individual investors are generally small Flag uestion O c. individual investors are qualified to assess credit risks of borrowers O d. individual investors are able to diversify their investment Clear my choice Among the implication of competitive financial markets is/are O a. All are incorrect b. investors are advised to follow passive investment strategy c. there is a trade-off between risk and return d. markets are efficient e. All are correct Clear my choice If you are looking for mispriced stocks in the financial markets, you are performing: . complete portfolio selection asset allocation .bo capital allocation .CO None is correct .d All are correct .e If the average Investor becomes less risk-tolerant, market risk premium will O a. It depends on other conditions b. increase c.decrease d. remain unchanged Clear my choice If the market is inefficient, you would follow a/an: O a perfect portfolio Management O b. passive portfolio management strategy c. mixed portfolio management strategies O d. active portfolio management