Portfolio Management Q149

149Sirajuddin Sheikh invests the majority of his portfolio on a passive risk strategy while managing a minority of the assets aggressively in smaller portfolios. This approach is best described as:

Option : B
Explanation : The core–satellite approach to constructing portfolios is defined as “investing the majority of the portfolio on a passive or low active risk basis while a minority of the assets is managed aggressively in smaller portfolios.”

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