The Risk Management Section of an Investment Policy Statement for Individual

question 42

Multiple Choice

The risk management section of an Investment Policy Statement for individual investors typically contains ________.

• A)relevant constraints
• B)other relevant considerations
• C)performance measurement accountabilities, metrics for risk measurement, and the rebalancing process
• D)A and B
• E)all of the above

---

Definitions:

Lawfully

In a manner that is in accordance with the law, legally permitted or authorized.

Duty To Act

A legal obligation that requires a person to take a certain action or perform a certain duty, often in emergency situations to avoid liability for harm caused by nonaction.

Innocent Conduct

Actions or behavior that are performed without malice or intent to harm, often considered in legal contexts to determine culpability or liability.

Further Harm

Additional injury or damage that occurs or may occur as a consequence of an initial act or occurrence.