问题如下:
The third project for Soto is to make a significant direct investment in broadly diversified global bonds for Kiest’s pension plan. Kiest has a young workforce, and thus, the plan has a long-term investment horizon. Hudgens needs Soto’s help to select a benchmark index that is appropriate for Kiest’s young workforce and avoids the “bums” problem. Soto discusses three benchmark candidates, presented in Exhibit 3.
选项:
A.Global Aggregate Index
Global High Yield Index
Global Aggregate GDP Weighted Index
解释:
C is correct.
Kiest has a young workforce and thus a long-term investment horizon. The Global Aggregate and Global Aggregate GDP Weighted Indexes have the highest durations (7.73 and 7.71, respectively) and would be appropriate for this group. Hudgens also wants to avoid the “bums” problem, however, which arises as a result of a market-cap-weighted portfolio increasing the weight of a particular issuer or sector that has increasing borrowings. The Global Aggregate Index is a market-cap-weighted index. As a result, the Global Aggregate GDP Weighted Index is the most appropriate selection for Kiest.
老师,The longer-duration Bloomberg Barclays US Corporate Bond Index 如何匹配“intermediate 中期”?