QTDMDT

Component ofInvestment Policy Statement (IPS)?

• A.Scope and purpose, governance, investment objectives, return and risk.

• B.Scope and purpose, investment objectives, return and risk, and risk management.

• C.Governance, investment objectives, return and risk, and risk management.

• D.Scope and purpose, governance, investment objectives, and risk management.

Where is asset allocation usually

determined?

• A.Risk tolerance

• B.Time horizon

• C.Goals

• D.All

Which of the following are the fund's

investment duties and responsibilities?

• A.Evaluate the suitability between investment strategy and IPS.

• B.Consult with the client to help the fund clarify the investment objective

  and impact, as well as to determine asset allocation.

• C.Exclusively authorizes financial advisors to maintain and lay off

  individuals and/or companies to manage investment assets.

• D.All is incorrect

In Vietnam, securities investment portfolio

management is an operation of:

• A. Banks

• B. Financial companies

• C. Fund management companies

• D. Securities companies

Value stocks would have the following characteristics:

• A.Low price/book, high price/earnings.

• B.Low price/book, low price/earnings.

• C.High EPS growth, high profitability

• D.Low EPS growth, high profitability

Which of the following is considered a passive management strategy?

• A.Sector rotation

• B.Use of factor models

• C.Quantitative screens

• D.Sampling

Measures of risk for an investment include:

• A.Variance of returns and business risk.

• B.Coefficient of variation of returns and financial risk.

• C.Variance of returns and coefficient of variation of returns.

• D.Business risk and financial risk.

Undiversifiable risk is:

• A.Systematic risk

• B.Default risk

• C.Fairly priced

• D. Cannot be determined from data provided

The risk-free rate is 5%. The expected market rate of return is 15%. If you expect a stock with

a beta of 1.2 to offer a rate of return of 20%, you should:

• A.Sell the stock because it is underpriced.

• B.Buy the stock because it is overpriced.

• C.Sell the stock because it is overpriced.

• D.Buy the stock because it is underpriced.

The cappital market line (CML) uses as a risk measurement, whereas the capital asset pricing model (CAPM) uses .

• A.Beta; total risk.

• B. Standard deviation; total risk.

• C. Standard deviation; systematic risk.

• D. Unsystematic risk; total risk