Valerie Is Doing Homework for Her Statistics Class

question 2

Multiple Choice

Valerie is doing homework for her statistics class. When she checks the answer she has just calculated for the problem she has been working on, she finds it is incorrect. She is frustrated, and tells her roommate: "I don't know why I'm even trying, I'll never catch on in this course. I should just give up now." What would Albert Ellis say that Valerie is engaged in?

• A)defensive coping
• B)mental disengagement
• C)reality-based coping
• D)catastrophic thinking

---

Definitions:

Specifying Asset Classes

The process of identifying distinct categories of assets, such as stocks, bonds, and real estate, based on their characteristics and functions in investment portfolios.

Capital Market Expectations

The forecasted future returns, volatilities, and correlations for the major asset classes, which are essential for the strategic asset allocation process.

Investment Objectives

Define the financial goals and strategies of an investor or an investment fund.

Risk

The potential for loss or unfavorable outcomes in any given situation, often assessed in finance as the variability of returns on investments.