Which of the Following Are Functions That a Portfolio Manager

question 77

Multiple Choice

Which of the following are functions that a portfolio manager should perform for clients?

• A) Determine investment objectives and constraints, diversify the portfolio, eliminate tax payments.
• B) Determine investment objectives, diversify the portfolio, maintain ethical standards and eliminate tax payments.
• C) Determine investment objectives and constraints, diversify the portfolio, and maintain ethical standards.
• D) Determine constraints, diversify the portfolio, and eliminate tax payments.
• E) Determine investment objectives and constraints, diversify the portfolio, eliminate tax payments, and achieve risk adjusted return superior to the relevant benchmark.

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Definitions:

Human Behavior

The range of actions and mannerisms exhibited by humans, influenced by culture, attitudes, emotions, values, ethics, authority, rapport, hypnosis, persuasion, coercion, and/or genetics.

Research Methods

The strategies, techniques, and procedures used in the investigation of phenomena, acquisition of new knowledge, or correction and integration of previous knowledge.

Experimental

Pertaining to or based on a methodical plan or procedure to establish cause and effect by testing hypotheses and controlling variables.

Correlational

Pertaining to a statistical relationship between two or more variables, indicating how one may predict the other without implying causation.