The Best Way to Measure Adherence to the Objectives of Money

question 7

Multiple Choice

The best way to measure adherence to the objectives of money managers and the financial needs of investors is:

• A)to calculate the total returns on the portfolios that they manage.
• B)to evaluate the risk exposure that the fund manager has accepted.
• C)to calculate the dividend income that the portfolio has achieved.
• D)to calculate the capital gains that the portfolio has achieveD.The objectives should be set with an eye toward the capabilities of the money managers and the financial needs of the investors.The best way to measure adherence to these objectives is to evaluate the risk exposure the fund manager has accepted.

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Definitions:

Capillaries

Microscopic blood vessels that facilitate the exchange of water, oxygen, carbon dioxide, and many other nutrients and waste substances between blood and tissues.

External Jugular Vein

A vein located on each side of the neck that drains blood from the face, neck, and scalp back to the heart.

Superior Vena Cava

A large vein that carries deoxygenated blood from the upper half of the body into the heart's right atrium.

Venules

Small blood vessels that allow deoxygenated blood to return from the capillary beds to the larger blood veins.