A Purely Passive Strategy Is Defined as

question 48

Multiple Choice

A purely passive strategy is defined as

• A) one that uses only index funds.
• B) one that allocates assets in fixed proportions that do not vary with market conditions.
• C) one that is mean-variance efficient.
• D) one that uses only index funds and allocates assets in fixed proportions that do not vary with market
• E) All of the options are correct.

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Definitions:

Obligated To Obey

Required or bound by law, duty, or moral principle to follow commands or instructions.

Authority

The authority or capacity to direct, make choices, and ensure compliance.

Adolescents

Individuals transitioning from childhood to adulthood, typically between the ages of 10 and 19, experiencing significant physical, psychological, and social changes.

Steepest Decline

describes the fastest decrease or most significant drop in a value or quantity over a specific period.