Which One of the Following Would Cause a Change to a Portfolio

question 27

Multiple Choice

Which one of the following would cause a change to a portfolio that is passively managed?

• A) a more attractive sector is found
• B) the passing of another calendar year
• C) a change in the client's risk-return preferences
• D) a new issue of a relatively stable security is announced

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Definitions:

Task Goals

Specific objectives or targets related to the completion of tasks within a job, often used to motivate employees, guide their efforts, and measure their performance.

Position Power

The authority and influence an individual possesses within an organization due to the rank or official role they hold, rather than their personal qualities or expertise.

Procedures

Established ways of doing something, typically involving a sequence of steps or actions.

Fred Fiedler

A psychologist known for developing the contingency theory of leadership, suggesting that the effectiveness of a leader is contingent on both their leadership style and the situation's demands.