CFA Practice Question

There are 136 practice questions for this study session.

CFA Practice Question

You are considering three active managers. Here are forward-looking expectations:

Assume active returns are uncorrelated over time and all active management decisions can be fully implemented. Which manager should you choose?

A. Manager A
B. Manager B
C. Manager C
Correct Answer: C

Given the assumptions, the breadth of Manager C is the highest, resulting in the highest information ratio.

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