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NEW QUESTION: 1
Wealth Management's top economist, Frederick Milton, is an economic cycle forecaster- Milton's economic forecasts indicate an economic upswing that will impact all goods and services sectors. Milton presents his economic findings to the rest of Wealth Management's professionals at their monthly meeting. All are excited about Milton's forecast of an improving economic condition that should translate into a steadily rising stock market.
Nathaniel Norton and Timothy Tucker have confidence in Milton's capabilities and decide to meet with their clients. Their first meeting is with Elizabeth Mascarella to whom Norton recommends a dynamic asset allocation strategy to take advantage of Milton's forecast. However, Mascarella is concerned because the somewhat persistent back-and-forth of economic activity has translated into an oscillating stock market.
Mascarella questions Norton's recommendation and asks Tucker which strategy should be followed if the market continues as it has, instead of making such "wonderful" strides.
It is one year later and Frederick Milton's economic forecast has been correct, and the market has trended upward as expected. Mascarella's strategic allocation to equity, which was $600,000 of a total portfolio of
$1,000,000, has increased 20%. Her overall portfolio, which contains equity, debt, and some cash, is now valued at $1,150,000. Tucker meets with Mascarella and indicates it may be time to rebalance her portfolio.
Tucker has tried to make Mascarella understand the benefits of percentage-of-portfolio rebalancing relative to calendar rebalancing. Which of the following statements made by Tucker is not correct?
A. Percentage-of-portfolio rebalancing minimizes the amount by which the allocations stray from their strategic levels.
B. Calendar rebalancing provides discipline while requiring less monitoring.
C. Percentage of portfolio rebalancing is better than calendar rebalancing because it keeps allocations closer to their strategic levels.
Answer: C
Explanation:
Explanation/Reference:
Explanation:
This statement is too general. The need to rebalance is determined by several factors, including the volatility of the assets and the correlations among the classes. For example, if the assets in the portfolio are not overly volatile and are fairly highly correlated, monitoring more frequently than on an annual basis may be a waste of time and money. (Study Session 16, LOS 46.e)

NEW QUESTION: 2



A. Option D
B. Option B
C. Option A
D. Option C
Answer: B

NEW QUESTION: 3
Ding Ltd. is a firm specialized in intellectual property business. A new video streaming application needs to be installed for the purpose of conducting the annual awareness program as per the firm security program. The application will stream internally copyrighted computer based training videos. The requirements for the application installation are to use a single server, low cost technologies, high performance and no high availability capacities.
In regards to storage technology, what is the most suitable configuration for the server hard drives?
A. RAID 10
B. RAID 1
C. Single hard disk (no RAID)
D. RAID 0
Answer: C
Explanation:
Single hard disk does provide low cost requirement and no high availability but doesn't provide high performance
RAID 1 (mirroring) provides the exact opposite of the needs : low performance, high cost and high availability RAID 10 provides performance but it is an expensive solution with high availability capacities
The following reference(s) were/was used to create this question: Shon Harris, AIO 5th, Operations Security, Page 1086

NEW QUESTION: 4
Which item is a formal proposal to modify any document, deliverable, or baseline?
A. Change request
B. Risk urgency assessment
C. Requirements documentation
D. Scope baseline
Answer: A