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CMT-Level-II Questions Bank

Page: 9 / 10
Total 262 questions

CMT Level II Exam Questions and Answers

Question 33

What is the specific name given to the normal distribution for having special characteristics?

Options:

A.

Center limit theorem

B.

Histogram

C.

Central limit theorem

D.

All of the above statements

Question 34

__________ is used to calculate the relative volatility of the current portfolio compared to the benchmark by calculating the annualized return less the risk-free return and then divided by beta.

Options:

A.

Sharpe ratio

B.

Calmar ratio

C.

Sortino ratio

D.

Treynor ratio

Question 35

Using the Point-and-Figure method what is the standard method used to portray the volume on the chart?

Options:

A.

This is to multiply the volume occurring when each box was in operation

B.

This is to sum up the volume occurring when each box was in operation

C.

This is to divide up the volume occurring by each box was in operation

D.

It is, to sum up, the volume that occurs when every box is not in use

Question 36

Which of the following BEST describes equity market performance during the presidential election cycle:

Options:

A.

Market has its strongest year during first year of president's term, posts its worst returns during the pre-election year and slightly negative returns in election years

B.

Market has an above average year during first year of president's term, posts negative returns during the pre-election year and its strongest returns in election years

C.

Market has a below average year during first year of president's term, posts its strongest returns during the pre-election year or in the election year

D.

Market has a below average year during first year of president's term, posts its strongest returns in the second year and reasonably strong returns during the pre-election and election years

Page: 9 / 10
Total 262 questions