Riskier asset classes, such as international equities, historically have higher returns than less risky asset classes, such as fixed interest. Does this necessarily mean that a high
allocation to riskier asset classes is appropriate for all investors? Why/why not? [2 marks]
Answers
A high allocation to riskier asset classes, like international equities, is not appropriate for all investors. This is because investors have different risk tolerance levels, investment time horizons, and financial goals.
Risk tolerance is the level of risk an investor is comfortable taking on in their portfolio. Those with a low-risk tolerance may not be willing to invest heavily in riskier asset classes, as they seek more stability in their investments.
On the other hand, investors with a high-risk tolerance might allocate more funds to riskier asset classes, like international equities, as they seek higher potential returns.
Investment time horizon is the length of time an investor plans to hold onto their investments. Investors with a short time horizon might not be well-suited for riskier investments, as they may not have enough time to recover from potential losses.
Long-term investors, however, may benefit from investing in riskier asset classes, as they have more time to ride out market fluctuations.
Lastly, financial goals play a role in determining the appropriateness of investing in riskier asset classes. Investors with conservative financial goals might prefer a lower allocation to riskier investments, while those with aggressive financial goals may seek higher exposure to riskier asset classes.
In summary, a high allocation to riskier asset classes like international equities is not appropriate for all investors, as it depends on their risk tolerance, investment time horizon, and financial goals.
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Related Questions
why is it important to protect profit motive in a mixed economy
Answers
Answer:
A company's profit motive benefits consumers by ensuring the products and services they need are available at a high quality.
Explanation:
I looked it up, cause I don't know much about this stuff, but I hope it helps you!
How the government can use restrictive measures to dampen a heated economy
Answers
by Increasing interest rates, Reducing government spending, Increasing taxes, Tightening monetary policy and Implementing trade barriers the government can use restrictive measures to dampen a heated economy.
Increasing interest rates: The central bank can increase interest rates to make borrowing more expensive, thereby reducing the amount of money available for spending and investment.
Reducing government spending: The government can reduce its spending to reduce the amount of money circulating in the economy.
Increasing taxes: The government can increase taxes to reduce disposable income and discourage spending.
Tightening monetary policy: The central bank can tighten monetary policy by reducing the amount of money in circulation or increasing reserve requirements for banks.
Implementing trade barriers: The government can implement trade barriers to reduce imports and increase domestic production, which can help reduce demand and inflation.
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If correct will mark brainliest :)
The Federal Reserve has recently added new rules pertaining to Debit Cards. One of the new rules is that:
A. you need to be 21 to have a debit card.
B. overdraft protection is now mandatory for consumers.
C. overdraft protection is now the consumer's choice.
D. banks can no longer charge late fees on debit card accounts.
Answers
The Federal Reserve has recently added new rules pertaining to Debit Cards. One of the new rules is overdraft protection is now the consumer's choice.
Not all checking bills price a rate for overdraft safety transfers. But after they do, the price is normally considerably much less than paying an overdraft rate. It may also permit tests to clear, which in flip will let you keep away from lower back take a look at charges from merchants. It can offer get entry to finances in instances of emergency.
If a renter with overdraft safety writes an $800 take a look at on an account with a stability of $650, the overdraft safety from their related account kicks in as quickly because the take a look at is cashed—and the take a look at clears as opposed to bouncing because of inadequate finances.
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Virgil is a tipped employee in Idaho. The minimum cash wage in Idaho is $3.35 per hour for a 40-hour workweek. The tip credit in Idaho is $3.90 per hour, and tips are NOT included in overtime calculations. During a one-week period, Virgil worked 48 hours and earned $180 in tips. What is his gross pay?
Answers
Virgil's gross pay for the one-week period would be $314, which includes earnings from the minimum cash wage and the tips earned.
Virgil, being a tipped employee in Idaho, is subject to the state's minimum cash wage, which is $3.35 per hour for a 40-hour workweek.
Additionally, Idaho allows employers to take a tip credit of $3.90 per hour, meaning that the employer can count $3.90 of the tips received by the employee towards the minimum wage requirement.
In this scenario, Virgil worked for a total of 48 hours during the one-week period. Since the minimum cash wage in Idaho is $3.35 per hour, his earnings from the minimum cash wage alone would be 40 hours multiplied by $3.35, which equals $134.
Regarding the tips Virgil earned, they are not included in the calculation of overtime pay. Therefore, we don't need to consider the overtime rate for this scenario.
To calculate his gross pay, we add the earnings from the minimum cash wage ($134) to the tips earned ($180), resulting in a total of $314. Therefore, Virgil's gross pay for the one-week period would be $314.
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Roberts company's common stock has a stated value per share. the company issued shares at per share on january 30 of the current year. which is the correct journal entry to record this transaction?
Answers
To record the issuance of shares at a stated value per share, the following journal entry can be made:
Date: January 30 [current year]
Debit: Cash [Number of shares issued x Per share price]
Credit: Common Stock [Number of shares issued x Stated value per share]
Credit: Additional Paid-in Capital [Any excess amount over the stated value]
The debit to Cash represents the amount received from issuing the shares, calculated by multiplying the number of shares issued by the per share price. The credit to Common Stock represents the total stated value of the shares issued, calculated by multiplying the number of shares issued by the stated value per share. The credit to Additional Paid-in Capital accounts for any excess amount received over the stated value, which is considered additional investment by the shareholders.
The specific dollar amounts will depend on the number of shares issued and the stated value per share as provided in the question.
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Research online and choose any to business organizations that use an IS. Describe the benefits of IS implementation in these two business organizations
Answers
Two businesses that use the IS system would be Amazon as well as Walmart
What are the benefits of IS implementation?Amazon:
Amazon is an e-commerce giant that relies heavily on its IS infrastructure to manage its operations. The benefits of IS implementation in Amazon include:
Efficient Order Management: Amazon uses its IS to manage orders from customers across the world. The IS system helps to automate the order processing and fulfillment process, reducing the time taken to complete orders and improving customer satisfaction.
Personalized Recommendations: Amazon's IS collects data on customer browsing and purchase behavior to provide personalized recommendations. This improves the customer experience and increases the likelihood of repeat purchases.
Inventory Management: Amazon's IS also helps to manage its inventory efficiently. The system tracks inventory levels in real-time and alerts staff when stocks are running low. This helps to minimize stockouts and improves customer satisfaction.
Walmart:
Walmart is a retail giant that also relies on its IS infrastructure to manage its operations. The benefits of IS implementation in Walmart include:
Inventory Management: Walmart's IS system helps to manage its vast inventory by tracking sales data in real-time. This helps Walmart to keep track of inventory levels and ensure that popular products are always in stock.
Efficient Supply Chain Management: Walmart's IS helps to manage its supply chain by automating ordering and tracking shipments. This helps to reduce the time taken to receive goods and improves overall supply chain efficiency.
Analytics and Business Intelligence: Walmart's IS collects vast amounts of data on customer behavior, sales trends, and other metrics. This data is used to generate insights that help Walmart to make better business decisions and improve its operations.
Overall, the benefits of IS implementation in these two organizations include increased efficiency, improved customer satisfaction, and better decision-making capabilities. By using IS to manage their operations, these companies have been able to stay ahead of the competition and continue to grow their businesses.
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if carissa has a $255,000 home insured for $190,000, based on the 80 percent coinsurance provision, how much would the insurance company pay for a claim of $5,000?
Answers
The 80 percent coinsurance provision requires homeowners to insure their property for at least 80 percent of its replacement value. In this case, Carissa's home is insured for $190,000.the insurance company would pay $4,375 for a claim of $5,000
Which is less than 80 percent of the home's value ($255,000). To calculate the amount the insurance company would pay for a claim, we use the following formula: Insurance Payment = (Insurance Coverage / Required Coverage) x Claim Amount Using the given values: Insurance Payment = ($190,000 / 0.80) x $5,000 = $237,500 x $5,000 = $4,375 According to the formula. This amount is determined by multiplying the ratio of the insurance coverage to the required coverage (0.80) by the claim amount. It's important to note that the coinsurance provision encourages homeowners to adequately insure their property to avoid penalties or reduced claim payments. In this case, since the insurance coverage is less than the required coverage.
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Suppose that when the price of peanut butter falls from $5 to $4 per jar, the quantity of jelly purchased rises from 10 million jars to 15 million jars.
Answers
The cross-price elasticity of demand is -1.82
Calculate the cross-price elasticity of demand:
The formula to calculate the cross-price elasticity of demand is:
(92 -91)/[(02 + 91)/2]
Cross price elasticity
(P2- A)/[(P +P)/ 2]
(15-10)/ [(15+10)/2]
(4-5)/ (4+5)/2]
5/12.5
-1/4.5
0.4
-0.22
=-1.82
Therefore, the cross-price elasticity of demand is -1.82. Since the demand is negative
The goods are said to be Complements.
Your question is incomplete. Please read below to find the missing content.
Suppose that when the price of peanut butter falls from $5 to $4 per jar, the quantity of jelly purchased rises from 10 million jars to 15 million jars. Instructions: Round your answer to two decimal places and include a negative sign if appropriate. The cross-price elasticity of demand between peanut butter and jelly using the midpoint method is The goods are?
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A derivative security's payoff is based on Multiple choice question. its own productive capacity its selling price other assets prices
Answers
A derivative security's payoff is based on other assets prices.
Derivative security
A derivative security is a financial instrument whose payoff is based on the value of another asset. Types of derivatives are futures, forwards, options, and swaps.
Also convertible bond is a derivative security because its value depends on the value of the underlying stock. A futures contract is a contract that trades on a regulated exchange.
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Your reading material states that ________ is the key to successful human interaction on any level. A. Persistence b. Capitulation c. Compromise d. Assertiveness
Answers
Persistence is the secret to successful human contact at any level, according to your reading material.
What does being persistent mean?1.: attempting to accomplish a task or continue to do something despite obstacles or requests from others to stop. A persistent salesman bugged us. He is one of the most steadfast opponents of the administration. She has pursued the job tenaciously.
What makes a person so persistent?People that are persistent have an objective and vision in view that inspires and propels them. They frequently have a higher purpose for their lives than just making a living; they are dreamers and visionaries. Their vision is embedded profoundly, and they are intensely passionate and energetic in their ongoing attention on it.
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Why would high start-up costs serve as a barrier to competition?
Answers
Good evening! Did you eat today? Did you drink water today? Did you get outside for some fresh air or even anytime to chill? Did you make sure you are healthy? If you answer no to any of these questions.. please get some to food, water, fresh air or even time to chill. Please take care of yourself! Bye! :)
Answers
Answer:
I ate an egg sandwich. I drank some water. I went outside for a short walk.
Explanation:
Thanks for asking :)
Kyle has experience in tracking inventory. What company might be interested in hiring Kyle?
a city clinic offering night classes to adults
a grocery store looking for a produce manager
a city manager’s office interested in balancing the budget
a state safety agency looking for an inspector
Answers
Answer:
a grocery store looking for a produce manage
Explanation:
Inventory refers to products a business holds for sale. Tracking inventory will refer to managing inventory movement in and out of business. A grocery store will need Kyle's experience much more than the businesses. The core business of a grocery store is to sell groceries.
Because Kyle is good at tracking inventory, he will help the store maintain optimal stock levels and guard against losses due to theft and spoilage.
Which one of the following statements is correct?
a. Cost can be controlled only by those who are managing the project
b. Cost can be controlled only by those who are managing the project risk
c. Cost can be controlled only by those who are doing the spending
d. Cost can be controlled only by those who are doing the work
Answers
The correct statement is "Cost can be controlled only by those who are doing the work." Option D.
This statement reflects the principle of responsibility assignment in project management, according to which each team member is accountable for their task or activities.
Cost management is a crucial aspect of project management, which requires the involvement of the entire project team, not just the managers.
Therefore, team members who are responsible for carrying out the activities are required to be cautious in their approach to carrying out the assigned task to control the cost and keep it within the allocated budget. It is essential for them to understand the scope of the work and execute it effectively and efficiently.
In conclusion, the statement "Cost can be controlled only by those who are doing the work" highlights the importance of assigning responsibility and accountability to the team members to ensure the cost of the project does not exceed the allocated budget.
Hence, the right answer is option D.
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can someone tell me what car u like bc i need inspo, like a V6 or something
Answers
Answer:
My personal favs are the Ford GT 2017, the Lamborghini Veneno, the Aston Martin Vulcan, and the Koenigsegg Jesko.
1) A misstatement in the financial statements can be considered material if knowledge of the misstatement will affect a decision of
A) the PCAOB.
B) a reasonable user of the financial statements.
C) an accountant.
D) the SEC.
Answers
A misstatement in the financial statements can be considered material if knowledge of the misstatement will affect a decision ofA) a reasonable user of the financial statements.
A misstatement in the financial statements can be considered material if knowledge of the misstatement will affect a decision of a reasonable user of the financial statements. Materiality is a concept in auditing and accounting that refers to the significance of an item or amount in relation to the financial statements as a whole. Materiality is judged by the impact that a particular item or misstatement is likely to have on the decisions of the financial statement users. The determination of whether an item is material is subjective and depends on the professional judgment of the auditor or accountant.
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what do limited partners in a business give up ? why ?
Answers
Answer:In return for giving up management power, limited partners get the benefit of protection from personal liability. This means that a limited partner can't be forced to pay off business debts or claims with personal assets. A limited partner, however, can lose his or her financial investment in the business.
Explanation:
What could this sign use on the left side.
Answers
Answer:
noce
Explanation:
If I Want to be a Child Pycoligest, what would the steps be to become this.
Answers
Answer:
................
Explanation:
Step 1: Three-year accredited undergraduate psychology sequence.
Step 2: Fourth-year accredited psychology studies.
Step 3: Internship pathway or postgraduate study to general registration.
Suppose you are a manager at an advertising agency who is eager to utilize Covey's advice about delegation. Today, you need to work on a
presentation for a potential new client. This requires delegating a routine status report about an ongoing advertising campaign to Joanne. By
delegating the status report to Joanne, she has
for its completion.
Answers
Available Option Are:
Juanita must have authority over the resources and personnel needed to complete the status report You should help Juanita with the status report, to the extent you have timeJuanita will have full responsibility for the assignment Juanita will be held accountable for the results of the assignment.Answer:
Correct Options are 1, 3 and 4.
Explanation:
She also has authority to access the legitimate resources to complete the status report in due time. Hence Option 1 is correct.
However, after delegating the assignment to Joanne. I am not responsible to help her complete the task. I may have responsibility of reviewing the status report but I am not responsible for helping her to complete the status report whenever I am free. Hence Option 2 is incorrect.
The reason is that after delegating the task to Juanita with authority and responsibility to complete the assigned task, she is now responsible to complete the status report as the task is assigned to her. Hence option 3 is correct
If Juanita's status report was not difference making or in simple words the purpose of the status report was not fulfilled then she will accountable for the outcome. Hence Option 4 is correct.
Prepare a monthly and yearly budget for Bill and Maura Jones based on the following information. They plan
on putting $50 into a college fund.
Net paychecks total = $1,555 monthly
Average monthly expenses:
Rent
$450
Utilities
$ 80
Gasoline
$ 70
Insurance
$ 90
Clothing
$ 50
Groceries
$300
Car payment $190
Car Maintenance
$ 50
Telephone
$ 25
Entertainment and Recreation $100
Gifts and donations $ 10
Personal care
$ 25
Miscellaneous $ 50
Savings - To be determined
Answers
Answer:
it is c on usa
Explanation:
The Jones have monthly income of $ 3,110, expenses of $ 1,540, and savings of $ 1,570. In turn, the Jones have annual income of $ 37,320, expenses of $ 18,480, and savings of $ 18,840.
To establish an annual and monthly budget for the Jones, taking into account the expenses raised, the following calculation must be performed:
All the expenses must be added, and thus the monthly budget is obtained. It must be multiplied by 12 to obtain the annual budget. 50 + 450 + 80 + 70 + 90 + 50 + 300 + 190 + 50 + 25 + 100 + 10 + 25 + 50 = X 1,540 = X 1,555 x 2 = 3,110 3,110 - 1,540 = 1,570
Thus, the Jones have monthly income of $ 3,110, expenses of $ 1,540, and savings of $ 1,570.
3,110 x 12 = 37,320 1,540 x 12 = 18,480 1,570 x 12 = 18,840
In turn, the Jones have annual income of $ 37,320, expenses of $ 18,480, and savings of $ 18,840.
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Explain how the existence of imperfect markets has led to the establishment of subsidiaries in foreign markets.
Answers
Resources are in many cases geographical, especially those that have to do with land. Markets become imperfect because Multinational Corporations (MNCs) have to in a few cases, be domiciled in the geographical space where the resources are in order to acquire them.
What is an Imperfect Market?It is to be noted tha an Imperfect Market is one that deviates from the requirements of standards of a "Perfect Market".
Unlike a perfect market, in an imperfect market, corporate and individual buyers and sellers can affect the price of production, and information about prices and products is not publicly circulated.
So the more spread MNCs are all over the world, the more imperfect, the market is likely to become.
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Describe how a free market works
Answers
Greg has a credit card which requires a minimum monthly payment of 2. 06% of the total balance. His card has an APR of 11. 45%, compounded monthly. At the beginning of May, Greg had a balance of $318. 97 on his credit card. The following table shows his credit card purchases over the next few months. Month Cost ($) May 46. 96 May 33. 51 May 26. 99 June 97. 24 June 0112. 57 July 72. 45 July 41. 14 July 0101. 84 If Greg makes only the minimum monthly payment in May, June, and July, what will his total balance be after he makes the monthly payment for July? (Assume that interest is compounded before the monthly payment is made, and that the monthly payment is applied at the end of the month. Round all dollar values to the nearest cent. ) a. $812. 86 b. $830. 31 c. $864. 99 d. $1,039. 72 Please select the best answer from the choices provided A B C D.
Answers
After making the monthly payment for July, Greg's total balance will be approximately $309.23.
To calculate Greg's total balance after making the monthly payment for July, we need to consider the interest accumulated on the remaining balance each month.
Given:
Minimum monthly payment: 2.06% of the total balance
APR: 11.45%, compounded monthly
Starting balance in May: $318.97
1. Calculate the minimum monthly payment for each month:
May: 2.06% of $318.97 = $6.56
June: 2.06% of ($318.97 - $46.96 - $33.51 - $26.99) = $5.58
July: 2.06% of ($318.97 - $97.24 - $112.57 - $72.45 - $41.14) = $4.11
2. Calculate the interest accrued on the remaining balance each month:
May: Interest = (APR/12) * Balance = (11.45%/12) * $318.97 = $2.66
June: Interest = (APR/12) * (Balance - Payment) = (11.45%/12) * ($318.97 - $46.96 - $33.51 - $26.99) = $2.20
July: Interest = (APR/12) * (Balance - Payment) = (11.45%/12) * ($318.97 - $97.24 - $112.57 - $72.45 - $41.14) = $1.65
3. Update the balance after deducting the payment and adding the interest for each month:
May: Balance = $318.97 - $6.56 + $2.66 = $315.07
June: Balance = $315.07 - $5.58 + $2.20 = $311.69
July: Balance = $311.69 - $4.11 + $1.65 = $309.23.
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Define Red Gross Society.
Answers
Answer: The Indian Red Cross Society is a voluntary humanitarian organization to protect human life and health based in India.
Explanation: It is part of the International Red Cross and Red Crescent Movement, and so shares the Fundamental Principles of the International Red Cross and Red Crescent Movement.
If U.S. Senator Jones is charged with a conflict of interest because of his financial interest in a firm he helped to secure a contract, he would most likely be charged with the crime of ________.
Answers
If U.S. Senator Jones is charged with a conflict of interest because of his financial interest in a firm he helped to secure a contract, he would most likely be charged with the crime of conflict of interest, which is illegal in most jurisdictions around the world.
Conflict of interest is a situation in which someone who has a particular interest or obligation may benefit financially from a decision they make or actions they take in their professional capacity. Such situations could arise in the course of the person's employment, elected position, or other areas of responsibility.
As a result of a conflict of interest, the person in question may be tempted to make a decision that is biased or unfair to others involved. This can result in serious consequences, including financial loss, legal liability, and damage to reputation. Therefore, most jurisdictions have laws that prohibit or regulate conflicts of interest to prevent such situations from arising and to ensure that public officials and other individuals act in the best interests of the public at all times.In conclusion, the crime that U.S. Senator Jones would most likely be charged with if he is found guilty of conflict of interest would be conflict of interest.
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When the entrepreneur arranges a get-together at someone's home where participants can socialize and get acquainted with the entrepreneur and the products or services offered, this is considered a(n) Multiple Choice home party illegal pyramid scheme pop-up business mobile office
Answers
The correct answer is home party. A home party is an event where an entrepreneur arranges a gathering at someone's home where participants can socialize and get acquainted with the entrepreneur and the products or services offered.
Home parties are a common marketing strategy for direct-selling companies to showcase their products to potential customers in a relaxed and informal setting. It is not an illegal pyramid scheme or a pop-up business, and it does not involve a mobile office. A home party is a gathering that an entrepreneur organizes where guests may mingle and get to know the entrepreneur as well as the goods or services provided. Direct selling businesses frequently use home parties as part of their marketing campaigns to introduce potential buyers to their products in a casual and comfortable environment. It is not a fraudulent pyramid scam, pop-up company, or include mobile office.
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Fill the Blank ? if a residual is negative, then that data point lies _________________ the regression line.
Answers
If a residual is negative, then that data point lies below the regression line.
In linear regression, residuals are the differences between the actual values and the predicted values of the response variable. A residual can be either positive or negative, depending on whether the actual value is greater or smaller than the predicted value. If a residual is negative, then the actual value is below the regression line, and if it is positive, then the actual value is above the regression line.
A negative residual indicates that the model underestimates the actual value, which means that the data point lies below the regression line. Understanding residuals is essential to assess the accuracy of the regression model and identify any outliers or influential data points that may affect the model's performance.
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How are SI units supportive to traders?
Answers
Some common SI units
Mass=KgTemperature=KLuminous intensity=CandelaCurrent=AmperePressure=PaWhich of the following is the best business opportunity? (show your work) An apartment complex that pays $1,000 per month An office complex that pays $3,000 quarterly A neighborhood the pays $230.77 weekly A university that pays $12,000 per year.
Answers
The answer choice which is the best business opportunity is:
A. An apartment complex that pays $1,000 per monthBusiness OpportunityThis refers to the investment options which a person has that is very likely to make him profit based on available data.
With this in mind, we can see that three options there all pays $12,000 per year and the only one which is odd is the neighborhood that pays $230.77 weekly and this pays $11,076.96.
As a result of this, we can see that option A is the best option because it pays monthly.
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