- CFA Exams
- CFA Level I Exam
- Topic 9. Portfolio Management
- Learning Module 38. Analysis of Active Portfolio Management
- Subject 1. Active Management and Value Added
CFA Practice Question
If a float-adjusted capitalization-weighted market index is used as the benchmark, active investors as a group ______
B. cannot outperform the market.
C. can tie to the performance of the market at the minimum.
A. most likely outperforms the market.
B. cannot outperform the market.
C. can tie to the performance of the market at the minimum.
Correct Answer: B
Active management is a zero-sum game.
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