True or false:

4. The regulator decides to ban ALL analysts reports due to potential conflicts of interest. As a consequence, we expect stock markets to become more efficient. TRUE OR FALSE?

You are evaluating the performance of your superannuation investments. Your aim is to assess the performance of the portfolio manager. The appropriate measure is the dollar-weighted return.

The Arbitrage Pricing Theory implies that a large number of investors will commit substantial funds to exploit arbitrage opportunities when they arise.

According to the Markowitz portfolio optimisation model, risk-averse investors will have lower Sharpe-ratios compared to less risk-averse investors.