Which One of the Following Value-At-Risk Measures Would Be Most

question 12

Multiple Choice

Which one of the following Value-at-Risk measures would be most appropriate for a portfolio designed for a very risk-adverse investor?

• A)Prob (R_p ≤ − .20)= 100%
• B)Prob (R_p ≤ − .15)= 50%
• C)Prob (R_p ≤ − .10)= 25%
• D)Prob (R_p ≤ − .10)= 10%
• E)Prob (R_p ≤ − .05)= 1%

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Definitions:

Supervised Supervision

The process where a higher-level or more experienced supervisor oversees the work of someone conducting supervision, often to ensure quality or fidelity in fields like counseling or clinical training.

Anxious

Feeling worried, nervous, or uneasy about an imminent event or something with an uncertain outcome.

Blended Model

A therapeutic approach that integrates elements from different counseling theories or models to tailor treatment to the individual's needs.

Counseling

A professional guidance process in which a counselor helps an individual, group, or family in solving personal or psychological problems.