Business Finance
Risk & Monetary Policies Management Questions

Question Description

I don’t understand this Accounting question and need help to study.

1. How would you manage the risk in your portfolio under a market turmoil situation such as now?

(1) Would diversification work in this situation? Why or why not?

(2) What investment instruments or products can you use to reduce the risk in your portfolio? How would they work?

2.

(1) In general, what kinds of monetary policies can help stimulate the economy?

(2) What kinds of monetary policies have been put in place by the FED so far?

3.

(1) In general, what kinds of fiscal policies can help stimulate the economy?

(2) What kinds of fiscal policies are currently being or will be put in place by the Treasury Department?

4. How effective do you think either monetary or fiscal policies are in battling the current economic adversity due to COVID-19 virus? Explain.

Student has agreed that all tutoring, explanations, and answers provided by the tutor will be used to help in the learning process and in accordance with Studypool's honor code & terms of service.

Final Answer

let me know if this works for u, thanks!

1. How would you manage the risk in your portfolio under a market turmoil situation such
as now?
(1) Would diversification work in this situation? Why or why not?
I believe that diversification would be the best solution to manage my portfolio’s risk in a
market turmoil situation like this. Currently, the world’s economy is unstable due to increasing
cases of the COVID-19 virus; therefore, the stock market is not stable as well. In times like this,
it is important to diversify our portfolio since it allocates investments among different financial
instruments and minimizes risk. This way, if some of our investments result in a loss instead of a
profit, profits from other investments might cover this loss, and overall, we might still be able to
profit from our investments.
(2) What investment instruments or products can you use to reduce the risk in your
portfolio? How would they work?
To reduce the risk in my portfolio...

Rice University

Anonymous
Return customer, been using sp for a good two years now.

Anonymous
Thanks as always for the good work!

Anonymous
Excellent job

Studypool
4.7
Trustpilot
4.5
Sitejabber
4.4
Similar Questions
Related Tags