GLO_CWM_LVL_1 exam

Modern “Asset Allocation” is based upon the model developed by Harry Markowitz. Which of the following statement is/are correctly identified with this Model? A . I & II onlyB . I, II & III onlyC . I onlyD . I, II & IV onlyView AnswerAnswer: B

Which one of the following sections of the Transfer of Property Act, defines ’Notice’A . Section 2B . Section3C . Section 5D . Explanation H of Section 3View AnswerAnswer: B

AUM stands forA . Asset Utilization ModelB . Asset Under ManagementC . Area Under ManagementD . None of the aboveView AnswerAnswer: B

The portfolio manager adds new stock to a portfolio. The stock has the same standard deviation as the existing portfolio but a correlation of coefficient with the existing portfolio that is less than +1. What effect will adding the new stock have on standard of the revised portfolio?A . The...

Which of the following is not the non- formal sources of law?A . CustomB . EquityC . PrecedentsD . Standards of JusticeView AnswerAnswer: C

Interest rate charged are higher in ……………A . Prime mortgageB . Sub prime mortgageC . Simple mortgageD . None of the aboveView AnswerAnswer: B

Stock dividends causeA . The price of a share of stock to riseB . The price of a share of stock to fallC . The value of the firm to riseD . The value of the firm to fallView AnswerAnswer: B

Which of the following is not correct in relation to ETFs?A . ETFs provide exposure to an Index or a basket of securities that trade on the exchange like a single stockB . ETFs can be bought and sold on the exchange at prices that are usually closer to the...

Which of the following measure is most widely used as an indicator of inflation?A . GDPB . WPIC . CPID . GDP implicit price deflatorView AnswerAnswer: B

Which of the following is controlled under monetary policy?A . Interest RatesB . Money SupplyC . InflationD . All of the aboveView AnswerAnswer: C