- CFA Exams
- CFA Level I Exam
- Study Session 17. Alternative Investments
- Reading 50. Introduction to Alternative Investments
- Subject 1. Alternative investments
CFA Practice Question
Which type of managers typically attempt to profit from short-term price fluctuations?
B. Active.
C. Neutral.
A. Passive.
B. Active.
C. Neutral.
Correct Answer: B
Passive investors instead rely on their belief that in the long term the investment will be profitable.
User Contributed Comments 2
| User | Comment |
|---|---|
| Rachelle3 | active - are on it from the start but passive - will let it pass by, it will come around later I am saying passive types let more time pass that's how you know they do not concentrate on short-term!!! simple |
| Inaganti6 | @rachelle3 nice summation |