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pshichka [43]
3 years ago
5

Hedge funds report average returns in December that are higher than their average returns in other months. This phenomenon _____

_____. I. is called the Santa effect II. often results from over generous valuation of illiquid assets III. appears stronger for lower-liquidity funds IV. can be explained by managers' attempts to inflate assets to collect higher performance bonuses Group of answer choices g
Business
1 answer:
RSB [31]3 years ago
8 0

Answer:

I, II, III, and IV

Explanation:

A hedge fund is made up of relatively liquid assets that are used to improve performance though short selling, leverage and derivatives.

There is use of complex trading techniques, risk management, and portfolio construction.

Usually a spike in returns occurs during December, this is called the Santa effect.

Managers receive an incentive fee when there is a good past performance of hedge funds.

So during December they tend to inflate the value of hedge funds.

This results in stronger valuation for low liquidity funds

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kirill [66]

Answer:

B

Explanation:

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6 0
4 years ago
Select the correct answer.
atroni [7]

Answer:

D.  to claim qualified expenses such as deductions or credits

Explanation:

To find - What is the purpose of a 1098 tax form?

Solution -

The correct option is - D.  to claim qualified expenses such as deductions or credits

Reason -

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To report payments received and payments due from the paying students.

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7 0
3 years ago
Countries with strong balance sheets and declining budget deficits tend to have lower interest rates. When the economy is weaken
Nadya [2.5K]

Answer:

Solution for question 1

It is not necessary that action that lower the short term interest rate will lower the long term interest rate also.

So given statement is false.

Solution for question 2

Because of subprime crisis in 2008 most of the Market collapsed and there is a huge problem of liquidity. Yield on US treasury security was decreased and so the price of treasury securities was increased.

Hence, given statement is true.

Solution for question 3

Countries with strong balance sheet mean countries are developed and so interest rate in these countries is lowered.

Hence, given statement is true.

Solution for question 4

One of the major function of Federal Reserve is to control economic activities. In the Era of globalization all countries economy is depend on other economy. So interest rate in USA highly dependent on other countries.

Hence, given statement is true.

3 0
3 years ago
"A client has been admitted with severe burns. Lactated Ringer's has been ordered to infuse via a pump. Why is this solution bei
sergiy2304 [10]

Answer:

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3 0
4 years ago
When you transition, a brief re-cap of the information that has just been heard is known as:
Delvig [45]

Answer:

When you transition, a brief recap of the information that has just been heard is known as an internal review.

Explanation:

Internal review is the recap of information that has just been heard in  transition.

5 0
4 years ago
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