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Completed on Tuesday, 14 March 2023,
6
Question 1
Complete
Marked out of 1.00
Which of the following is one of the key aspects of observed behaviour?
Select one:
A. Risk aversion in losses and risk seeking in gains
B. Gains and losses are defined relatively easy
C. Risk aversion in gains and risk seeking in looses
D. Gains and losses are difficult to measure
Question 2
Complete
Marked out of 1.00
Why do people tend to sell stocks that have performed well too soon while holding on to poorly performing stocks too long? Because_.
Select one:
A. of a decrease in capital gains to be paid
B. emotions may not provide a better explanation
C. investors are risk-neutral for losers
D. of Loss-aversion that result from fear of regret
3
, Question
Complete
Marked out of 1.00
MENU
/ Assessment 1
Which of the following best relates to momentum?
Select one:
A. Momentum exists when returns are negatively correlated with past returns.
B. A simple time varying CAPM with beta uncertainty can contribute to an explanation of momentum.
C. The Fama-French three factor model can account for momentum.
D. Some research relates momentum to the business cycle and state of the market, arguing that (non-diversifiable) macroeconomic
instruments can not account for a large portion of momentum profit.
Question 4
Complete
Marked out of 1.00
Which of the following best illustrates factors influencing investor preference for growth stock_?
Select one:
A. committing judge errors in extrapolating past growth rates too far into the past
B.
Momentum
C. Historical value
D.
representativeness -investor may assume that good companies are good investments
/
Completed on Tuesday, 14 March 2023,
6
Question 1
Complete
Marked out of 1.00
Which of the following is one of the key aspects of observed behaviour?
Select one:
A. Risk aversion in losses and risk seeking in gains
B. Gains and losses are defined relatively easy
C. Risk aversion in gains and risk seeking in looses
D. Gains and losses are difficult to measure
Question 2
Complete
Marked out of 1.00
Why do people tend to sell stocks that have performed well too soon while holding on to poorly performing stocks too long? Because_.
Select one:
A. of a decrease in capital gains to be paid
B. emotions may not provide a better explanation
C. investors are risk-neutral for losers
D. of Loss-aversion that result from fear of regret
3
, Question
Complete
Marked out of 1.00
MENU
/ Assessment 1
Which of the following best relates to momentum?
Select one:
A. Momentum exists when returns are negatively correlated with past returns.
B. A simple time varying CAPM with beta uncertainty can contribute to an explanation of momentum.
C. The Fama-French three factor model can account for momentum.
D. Some research relates momentum to the business cycle and state of the market, arguing that (non-diversifiable) macroeconomic
instruments can not account for a large portion of momentum profit.
Question 4
Complete
Marked out of 1.00
Which of the following best illustrates factors influencing investor preference for growth stock_?
Select one:
A. committing judge errors in extrapolating past growth rates too far into the past
B.
Momentum
C. Historical value
D.
representativeness -investor may assume that good companies are good investments