Match the Following

question 157

Multiple Choice

Match the following.You may use a response once,more than once,or not at all.
-Charismatic leadership

• A)Leader behavior model
• B)Situational model
• C)Trait model

Understand the basic concepts and differences between hedge fund strategies, such as market-neutral and long-short hedges.

Comprehend how hedge fund managers are compensated, including management fees and incentive bonuses.

Recognize the financial requirements for investments in hedge funds, including the typical initial investment range.

Identify the regulatory characteristics and operational structures of hedge funds compared to mutual funds.

---

Definitions:

Portfolio Beta

A measure used to determine the volatility of a portfolio's returns relative to the overall market.

Expected Return

The anticipated profit or loss from an investment, calculated as an average of all possible outcomes weighted by their likelihood of occurrence.

Reward To Risk Ratio

A metric used by investors to compare the expected returns of an investment to the amount of risk undertaken to capture these returns.

Risk Premium

The additional return expected by an investor for taking a higher risk.