Portfolio Performance Is Often Decomposed into Various Subcomponents Such as the Return

question 80

Multiple Choice

Portfolio performance is often decomposed into various subcomponents such as the return due to ___________.
I.broad asset allocation across security classes
II.sector weightings within equity markets
III.security selection with a given sector
The one decision that contributes most to the fund performance is

• A) I
• B) II
• C) III
• D) All contribute equally to fund performance

---

Definitions:

Levator Scapulae

A skeletal muscle situated at the back and side of the neck, responsible for elevating the scapula (shoulder blade).

Fan-Shaped

Describes an object, structure, or pattern that spreads out in a shape resembling a fan.

Serratus Anterior

A muscle that originates on the surface of the upper eight or nine ribs and inserts along the entire anterior length of the medial border of the scapula, playing a key role in the movement of the shoulder blade.

Humerus

The long bone in the upper arm that runs from the shoulder to the elbow.