Islamic Fund Managers Adopt the Following Main Strategies to Manage

question 59

Multiple Choice

Islamic fund managers adopt the following main strategies to manage the market risks of their portfolios.

• A) portfolio diversification and portfolio protection
• B) risk transfer
• C) applying strict monitoring measures
• D) all of the above

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Definitions:

MRP

Marginal Revenue Product - the additional revenue generated from employing one more unit of a resource, such as labor or capital.

Wage Rate

The standard amount of compensation that workers receive in exchange for their labor, typically expressed per hour or unit of work performed.

MRP

Marginal Revenue Product, representing the additional revenue generated by employing one more unit of a factor, such as labor or capital.

Rent

Rent is the payment made by a tenant to a landlord for the use of a property, room, or piece of land for a specified period.