CFA Practice Question

There are 136 practice questions for this study session.

CFA Practice Question

Consider the following benchmark and managed portfolio.

What is the value added from the security selection?
A. 0.45%
B. 2%
C. 2.45%
Explanation: wP, stocksRA, stocks + wP, bonds RA, bonds = 0.75 x (15% - 12%) + 0.25 x (2% - 3%) = 2%

User Contributed Comments 0

You need to log in first to add your comment.