Portfolio Management Q137

0. An investment policy statement that includes a return objective of "No greater than a 6% probability of a loss of more than $34,500 over any 12-month period" is best characterized as having a(n):

  • Option : B
  • Explanation : Absolute return objectives can also be stated in terms of the probability of specific portfolio results, percentage losses or dollar losses, rather than strict limits on portfolio results.
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