Lets start from basic's to test your investment skills.
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Congratulations - you have completed Questionnaire : Basic Investment Skills .
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Question 1
Risk attached to a investment refers to ?
A
Risk tolerance and expected returns of investor
B
Uncertainty attached to the investment returns
Hint:
Risk inherent in the investment decision arise due to uncertainty of the return from expected return
C
Certainty attached to the investment returns
D
None of the above
Question 2
Risks associated with an investment can be classified asĀ ?
A
Business risk,financial risk and liquidity risk
B
Equity risk,liquidity risk and capital risk
C
Financial risk,opportunity risk,Offshore risk
D
None of the above
Question 3
What is contrary investing ?
A
A strategy that is followed by portfolio managers under which they react to market conditions in a opposite manner
B
Sell a stock when everybody is buying it
C
Buying a stock when everybody is selling it
D
Both b and c options
Question 3 Explanation:
Buy when stock is down and sell when it is on top.This is the mean of contrary investing.
Question 4
U.S Govt body that generates current Consumer Price Index (CPI) ?
A
Inflation Control Board
B
National statistics of America
C
Bureau of Labor Statistics (BLS)
D
None of the above
Question 4 Explanation:
Every month the Bureau of Labor Statistics (BLS) surveys prices and generates the CPI stats that helps analysts to track down the economic condition of country.
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