Bottom-up as approach to security valuation and selection

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Reference no: EM131861500

1. What is the difference between top-down and bottom-up as an approach to security valuation and selection?

A. Top-down is always a better choice for investors who are fiduciaries.

B. Top-down begins with global and macro analysis and ten moves toward a specific industry and then a specific company.

C. Top-down and bottom-up and roughly equivalent in their strategies.

D. Bottom-up begins with global and macro analysis and ten moves toward a specific industry and then a specific company.

2. How are options different from stocks?

A. Stocks do not confer voting rights

B. There is a limit to the number of options that can be traded on a company

C. Stocks have a flexible number of shares outstanding.

D. Options have expiration dates

Reference no: EM131861500

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