Asset allocation basically means holding various asset

Assignment Help Financial Management

Reference no: EM131972822

Asset allocation basically means holding various asset classes that have correlated performance; that is they do not fluctuate independently of each other. If two investments do not fluctuate in tandem, they won’t provide diversification or increase risk. Critically analyse this statement and rephrase where necessary. consider the factors that must be considered to achieve the desired allocation.

Reference no: EM131972822

Questions Cloud

Differences between life insurance and annutities : Although annuities and life insurance are both financial servise products that are based on principles of pooling and compound interest.

Why the federal reserve bank would act to slow down : Explain how and why the federal Reserve Bank would act to either stimulate or slow down the Us Economy. You can use current conditions and their actions over.

Annuity projects with positive net income-depreciable assets : Which of the following statements are true for annuity projects with positive net income and depreciable assets?

Explain the role of foreign exchange rates : Explain the role of foreign exchange rates in conducting business globally. What are the risks involved in conducting business in a currency.

Asset allocation basically means holding various asset : Asset allocation basically means holding various asset classes that have correlated performance;

Difference between company specific and market risk : Explain the difference between company specific and market risk. If you were making an investment decision such as buying a partial interest in the suppliers.

How high of return do you need to earn on your investments : How much will you have in your retirement account on the day you retire? how high of a return do you need to earn on your investments?

How an interest rate represents a price : Give at least 3 examples of how an interest rate represents a price for the Opportunity Cost. At least one of your examples must relate to a business decision.

Why does the amount of interest income change over time : If the payments are constant, why does the amount of interest income change over time?

User Account

All Pages