• We are pleased to announce that the winner of our Feedback Prize Draw for the Winter 2024-25 session and winning £150 of gift vouchers is Zhao Liang Tay. Congratulations to Zhao Liang. If you fancy winning £150 worth of gift vouchers (from a major UK store) for the Summer 2025 exam sitting for just a few minutes of your time throughout the session, please see our website at https://www.acted.co.uk/further-info.html?pat=feedback#feedback-prize for more information on how you can make sure your name is included in the draw at the end of the session.
  • Please be advised that the SP1, SP5 and SP7 X1 deadline is the 14th July and not the 17th June as first stated. Please accept out apologies for any confusion caused.

April 2014 Paper 1 Q2(iii)

R

rlsrachaellouisesmith

Ton up Member
In this question it says why we might expect to portfolio A leading to higher returns.
How do we know that this is asking us to explain why portfolio A might have higher returns compared to portfolio B?
I read this as why portfolio A might have higher returns in the next 12 months than it has had in the last 12 months?
Thank you
 
Hi Rachael - I agree there is some ambiguity in the wording here.

The main steer comes from portfolio B being referred to in the paragraph immediately prior to that question part, so we have to ask ourselves 'why have they bothered to mention portfolio B here'?

Having said that, even if it was interpreted as meaning relative to previously (rather than relative to portfolio B) it is still possible to pick up decent marks as the basic ideas re portfolio A doing well are valid under either interpretation.
 
You must log in or register to reply here.
Back
Top