Quiz – Portfolio Balance

Question 1 of 6

1. Question

By timing every market move

By spreading across uncorrelated assets

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By concentrating in one hot sector

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By buying only a single stock

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By timing every market move

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Question 2 of 6

2. Question

Currency risk only

Unsystematic risk

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Inflation risk entirely

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All possible risk

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Currency risk only

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Question 3 of 6

3. Question

Belbin

Markowitz

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Tuckman

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Maslow

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Belbin

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Question 4 of 6

4. Question

Tax law changes

Sector and company downturns

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Rising interest rates only

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Every future loss

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Tax law changes

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Question 5 of 6

5. Question

Zero exposure to any market

Lower volatility with comparable returns

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Higher volatility with lower returns

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Guaranteed short-term profit

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Zero exposure to any market

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Question 6 of 6

6. Question

Match each diversification idea to its effect.

Sort elements

Reduce portfolio volatility
Cut unsystematic risk
Lower volatility, comparable returns

Uncorrelated assets

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Geographic and sector spread

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Markowitz balance

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