The Value of the Amex Internet Index Increased by About

question 35

Multiple Choice

The value of the Amex Internet Index increased by about ________ percent from October 1998 to March 2000 and subsequently declined by about ________ percent by October 2002.

• A)100; 50
• B)200; 75
• C)400; 80
• D)500; 90
• E)600; 80

---

Definitions:

Risk Averse

An investor who will consider risky portfolios only if they provide compensation for risk via a risk premium.

Variable Annuity Contract

An insurance contract that provides future payments to the holder, where the amounts depend on the performance of the investment options chosen.

Hypothetical Constant-Benefit Payment

A theoretical payment scenario where beneficiaries receive a constant amount, regardless of changes in the underlying value or conditions.

Personal Trust

An interest in an asset held by a trustee for the benefit of another person.