The portfolio expected return considers which of the following factors? I.The amount of money currently invested in each individual security
II)Various levels of economic activity
III)The performance of each stock given various economic scenarios
IV)The probability of various states of the economy occurring
A)I and III only
B)II and IV only
C)I,III,and IV only
D)II,III,and IV only
E)I,II,III,and IV only

Question

Quizplus · Accepted Answer

The portfolio expected return calculation considers the amount of money invested in each security (I), different levels of economic activity (II), the performance of each stock under various economic scenarios (III), and the probability of different economic states occurring (IV). These factors together help in assessing the expected return by taking into account both the investment distribution and the economic conditions that could affect the portfolio's performance.

The Portfolio Expected Return Considers Which of the Following Factors