The global economy has its most immediate impact on domestic firms through:
a) Geo-political events
b) The growth of currently underdeveloped markets
c) Currency exchange rates
d) Actions taken by the World Trade Organization
In Portfolio Theory, the overall investment process is a two-step process:
a) Select individual assets, then allocate funds between asset classes
b) Allocate funds between a risky and risk-free asset, then build an efficient portfolio as the risky asset
c) Invest in the market portfolio, then invest in a smaller portfolio
d) Determine the investor’s risk tolerance, then decide whether to invest in risky asset or not
True or False – Despite all the methods and tools available to analysts, the primary source of stock value is the growth of the firm.
True or False – It’s uncommon for a particular stock’s price to trend upwards when the industry to which it belongs is suffering a downturn.