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Management · Q149

Financial Management

Graduate and Post Graduate · Management · question 149

Q149

Portfolios lying on the upper right portion of the efficient frontier are likely to be chosen by_______________.

A.
aggressive investors
Answer
B.
conservative investors
C.
risk-averse investors
D.
defensive investors

Answer: Option A

Solution

Answer: Option A
Solution:
Portfolios lying on the upper right portion of the efficient frontier are likely to be chosen by aggressive investors. A portfolio is a grouping of financial assets such as stocks, bonds, commodities, currencies and cash equivalents, as well as their fund counterparts, including mutual, exchange-traded and closed funds