If the Economic Outlook Was Such That You Expected Corporate

question 18

Multiple Choice

If the economic outlook was such that you expected corporate earnings to decline,consumers have excessive levels of debt,and there is significant overcapacity in the technology sector,then an appropriate asset allocation policy would be to:

• A) Overweight equity especially technology stocks and underweight bonds
• B) Underweight equity especially technology stocks and overweight bonds
• C) Overweight equity especially technology stocks and overweight bonds
• D) Underweight equity especially technology stocks and underweight bonds
• E) None of the above

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