The Mean Change in the Value of a Portfolio of Trading

question 61

Multiple Choice

The mean change in the value of a portfolio of trading assets has been estimated to be 0 with a standard deviation of 20 percent.Yield changes are assumed to be normally distributed. What is the maximum yield change expected if a 90 percent confidence (one-tailed) limit is used?

• A)3.30%.
• B)20.0%.
• C)33.0%.
• D)39.2%.
• E)46.6%.

---

Definitions:

Classroom Training

A traditional form of instruction involving an educator and students, typically conducted in-person in a classroom setting.

Cognitive Ability

Cognitive ability refers to the capacity of an individual to perform various mental activities related to learning, thinking, reasoning, problem-solving, and decision-making.

Experiential Learning

A learning approach based on students actively engaging in experiences that enhance their knowledge and skills.

Cost Reduction

Strategies or actions taken by a company to decrease its expenses and improve profitability.