A hybrid strategy is one where the investor
A)uses both fundamental and technical analysis to select stocks.
B)selects the stocks of companies that specialize in alternative fuels.
C)selects some actively-managed mutual funds on their own and uses an investment advisor to select other actively-managed funds.
D)maintains a passive core and augments the position with an actively managed portfolio.
E)none of the above.

Question

Quizplus · Accepted Answer

A hybrid strategy involves combining passive investing with active management. Maintaining a passive core and augmenting the position with an actively managed portfolio is an example of a hybrid strategy. This approach can help achieve a balance between low-cost, diversified exposure to the market and the potential benefits of active management. Options A, B, and C are not necessarily examples of a hybrid strategy.

A Hybrid Strategy Is One Where the Investor