Security selection refers to ____________.
A)choosing which securities to hold based on their valuation
B)investing only in "safe" securities
C)the allocation of assets into broad asset classes
D)top-down analysis
E)all of the above

Question

Quizplus · Accepted Answer

Security selection refers to the process of choosing which specific securities to invest in, based on their valuation or other factors such as growth potential or industry trends. It is distinct from asset allocation, which involves determining the appropriate mix of different asset classes such as stocks, bonds, and cash. Security selection can be done through various methods, such as fundamental analysis or technical analysis, and can involve both qualitative and quantitative factors.

Security Selection Refers to ____________