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Investors Can Use Asset Allocation Model for the Following Purposes

question 21

Multiple Choice

Investors can use Asset Allocation Model for the following purposes:
I. maximizing portfolio returns
II. balancing risk and return
III. finding the perfect mix of funds
IV. increasing safety of the portfolio

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Definitions:

Deposit

A sum of money placed into a bank account or given as initial payment or security for the purchase of an item.

Compounded Daily

The process of calculating interest on both the initial principal and the accumulated interest from previous periods on a daily basis.

Interest

The cost of borrowing money or the return on investment for lending money, determined as a percentage of the principal amount.

Desired Amount

The specific sum of money or financial goal an individual or entity aims to achieve.

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