NISM 21B Portfolio Managers Exam Notes

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  • Market Efficiency: Assumed in CMT, impacts pricing.
  • Portfolio Optimization: Uses CMT for risk-return.
  • Leverage Impact: Increases risk and return.
  • Risk Decomposition: Separates systematic, unsystematic risks.
  • CAPM Limitations: Assumes single-factor risk, constant beta.

NISM 21B Portfolio Managers

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