R4- Principles of Asset Allocation Flashcards
(8 cards)
1
Q
MVO concept
A
Identify that maximizes return for every level off risk.
2
Q
Constrains of MVO method (6)
A
3
Q
Aproaches to liability driven portifolio
A
4
Q
Fill the blanks:The goals based approach is ideal to ___
A
Individual investor who tipically have a number of conflicting objectives, with deferentt time horizons.
5
Q
Aproaches to % equity over portifolio
A
120 minus age
60/40 Split
Endowment model
Risk parity
1/n rule
6
Q
F-weight of allocation to an asset
A
7
Q
Fill the blanks: In the absence of rebalancing, overall portifolio risk ____
A
Rises
8
Q
Global market weighted portifolio
A
Includes all investable assets, equities, and real assets
