Important Points for IC 99 - Asset Management Exam

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  • The present or future value of cash flows is determined by using a discount rate. This discount rate is based on factors like rate of inflation, interest rate and risk premium.
  • It is a process of building a portfolio that involves making wide range of decisions regarding buying or selling of stocks, bonds, or other financial instruments.
  • Inflation is the term used to describe the rate at which prices for goods and services are rising.
  • Deflation is the term used to describe a general decline in prices.
  • A portfolio is a group or pool of financial assets such as shares, bonds, debt instruments, cash equivalents etc.

Asset Management Exam

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