Passive Portfolio Management Consists of _________

question 45

Multiple Choice

Passive portfolio management consists of _________.

• A) market timing
• B) security analysis
• C) indexing
• D) market timing and security analysis
• E) None of these is true.

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Definitions:

Recession

A fleeting period of economic diminution, involving a dip in trade and industry work, usually defined by a decrease in GDP over two following quarters.

Foreign Purchases Effect

The impact on a country’s balance of trade when its currency appreciates or depreciates, influencing the price of imports and exports.

Price Level

The general level of prices for goods and services in an economy.

Classical Theory

A broad framework in economics emphasizing free markets, competition, and the self-regulating nature of economies.