- CFA Exams
- CFA Level I Exam
- Study Session 16. Portfolio Management (1)
- Reading 44. 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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