What is the essential ingredient in all active portfolio strategies?
What will be an ideal response?
Selecting a portfolio strategy that is consistent with the objectives and policy guidelines of the client or institution is the third step in the investment management process. Portfolio strategies can be classified as either active strategies or passive strategies. Essential to all active strategies is specification of expectations about the factors that influence the performance of an asset class. In the case of active equity strategies, this may include forecasts of future earnings, dividends, or price/earnings ratios. In the case of active bond management, this may involve forecasts of future interest rates, future interest-rate volatility, or future yield spreads. Active portfolio strategies involving foreign securities will require forecasts of future exchange rates.
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Development and support services for a firm's business systems are provided by:
A) IT educational services. B) IT management services. C) data management services. D) IT standards services. E) application software services.
When materials are put into production, they are taken from the Raw Materials account and put into the Finished Goods Account
Indicate whether the statement is true or false