Portfolio Management Professional (PfMP) — Question 22

Which of the following is not an investment choice tool?

Answer options

• A. Trade-off analysis determines the effect of changing one or more factors of the portfolio
• B. The use of spreadsheets or other tools to examine factors of interest
• C. Budget variability determines the effect of changing the portfolio
• D. Time-to-market variability determines the effects of portfolio velocity

Correct answer: B

Explanation

The correct answer is B because while spreadsheets can be used for various purposes, they are not specifically an investment choice tool. Options A, C, and D all describe methods that directly assess or influence investment decisions related to portfolio management.