All of the Following Are Basic Strategies Resulting from a Portfolio

question 11

Multiple Choice

All of the following are basic strategies resulting from a portfolio analysis EXCEPT:

• A) harvest
• B) build
• C) hold
• D) divest
• E) milk

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Definitions:

Repaid

The act of paying back money that was borrowed from a person, bank, or financial institution.

Interest Rate

The ratio at which interest is applied to money loaned by a borrower from a lending party.

Compounded Semi-annually

A financial term indicating the interest on an investment is calculated and added to the principal balance twice every year, enhancing the total return over periods.

Obligation

A duty or commitment to pay money or perform some action.