Strategies that selectively buy or sell individual securities based on their recent return performance are called ______ strategies.
A) fundamental
B) market timing
C) momentum
D) trendline
E) None of the above

Question

Quizplus · Accepted Answer

Momentum strategies base their decisions on the recent return performance of individual securities, specifically buying those that have performed well and selling those that have performed poorly. Fundamental strategies involve analyzing a company's financial and economic fundamentals, while market timing and trendline strategies rely on attempting to predict market trends and movements.

Strategies That Selectively Buy or Sell Individual Securities Based on Their