- CFA Exams
- CFA Level I Exam
- Topic 9. Portfolio Management
- Learning Module 40. Using Multifactor Models
- Subject 3. Multifactor Models: Selected Applications
CFA Practice Question
Multi-factor models are useful in ______.
II. active management
I. passive management
II. active management
Correct Answer: I and II
Multifactor models can help us understand in detail the sources of a manager's returns relative to a benchmark.
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