Test your knowledge

Choose wisely. There is only one correct answer to each question.

0%
Keep studying!
Review your answers below to learn more.
1.
The Internet can send you alerts to tell you when there are big changes in your investment holdings.
Choose wisely. There is only one correct answer.
True. Some financial Websites will send you such alerts if you sign up for them.
2.
What can happen if you ignore changes that occur in your portfolio?
Choose wisely. There is only one correct answer.
Both of the above. Ignore changes in your portfolio and you may end up with a portfolio that's very different from the one you originally put together.
3.
The best way to put an investment's performance into context is to compare its returns to those of other investments in your portfolio.
Choose wisely. There is only one correct answer.
False. The best way to do it is to compare its returns to an appropriate benchmark.
4.
The best way to put an investment's performance into context is to compare its returns to those of _______.
Choose wisely. There is only one correct answer.
An appropriate benchmark. Compare the returns of your investments to the benchmark you chose.
5.
When monitoring your investment portfolio, you would be wise to _______.
Choose wisely. There is only one correct answer.
Develop a set of monitoring procedures. Approach your portfolio scientifically with a set of procedures, goals, and criteria.