Question #1 of 5 Which of the following statements regarding the investment management process is most accurate?. A The portfolio is only rebalanced when client circumstances change.. B
Trang 1Question #1 of 5
Which of the following statements regarding the investment management
process is most accurate?
A) The portfolio is only rebalanced when client circumstances change
B) The IPS is the working document between the investment advisor and client C) The IPS should be reviewed annually
Question #2 of 5
Decision-reversal risk is likely to:
A) occur when a manager panics during a market crisis
B) create a skewed distribution of portfolio return
C) occur in large institutional portfolios with exposure to alternative investments
Question #3 of 5
Which of the following comments regarding major industry trends is most
correct?
A) Robo-advisors offer wealth management services without direct contact
between the client and manager
B) The use of big data is tied to the growth of artificial intelligence
C) Passive management is a declining portion of the investment business
Question #4 of 5
Which of the following is not part of an effective investment governance model?
A) The process of setting an asset allocation
B) Establishing client objectives
C) Determining manager compensation
Question #5 of 5
Trang 2Carla Smitz, CFA, is working with new, young clients Terry and Janice Dillard to
develop their investment policy statement (IPS) Smitz should most likely take into
consideration:
A) both their human capital and risk tolerance
B) their risk tolerance
C) their human capital