DumpsBoss CFA-Level-2 Exam Dumps: The Most Effective Way to Pass
CFA-Level-2_Exam
Created 11/28/2024
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Test your knowledge and readiness for the CFA-Level-2 Exam with the ultimate selection of exam-like questions. Challenge yourself and see how prepared you are!
1. Which valuation model primarily focuses on estimating security value by considering future growth potential and required return?
Relative Valuation Model
Asset-Based Approach
Discounted Cash Flow Model
Residual Income Model
2. Which component of portfolio management focuses on establishing the relative weightings of asset categories?
Market Trend Analysis
Active Return Adjustments
Sector Rotation Strategies
Strategic Asset Allocation
3. What is a limitation of the Capital Asset Pricing Model (CAPM) often discussed in academic literature?
Assumes Single Period Investment Horizon
Requires Perfect Markets
Assumes Fixed Beta Values
Neglects Unsystematic Risk
4. How does industry analysis typically influence the valuation process of a company's equity?
Establishes Historic Profit Patterns
Identifies Key Economic Forces
Predicts Short-Term Stock Movements
Details Internal Efficiency Gaps
5. What is the primary use of financial statements in evaluating a company's investment potential?