NO.PZ202207040100000704
问题如下：
In order to select the most appropriate benchmark index to fit the description in the mandate of Pool 3, the index construction should:选项：
A.be exhaustive. B.use free-float weighting. C.use fundamental weighting.解释：
SolutionB is correct. The mandate of Pool 3 emphasizes liquidity as a benchmark feature. Free-float weighting is a form of capitalization weighting. A cap-weighted index can be thought of as a liquidity-weighted index because the largest-cap stocks tend to have the highest liquidity and the greatest capacity to handle investor flows at a manageable cost.
A is incorrect. Exhaustive inclusion uses every stock in an index regardless of its liquidity.
C is incorrect. The mandate of Pool 3 explicitly states a belief in efficient markets. Fundamental weighting intends to exploit possible inefficiencies in market pricing caused by the overuse of cap-weighted approaches.
老师，请问A能再详细解释一下吗？
