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Relating to Mutual Funds, a non-fundamental policy is a policy that can be changed without obtaining shareholder approval. A 60-day notice must be sent to the shareholders prior to the Mutual Fund making the change.

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What type of policy combines the flexibility of a universal life policy with investment choices?

The type of policy that combines the flexibility of a universal life policy with investment choices is known as a variable universal life insurance policy. This policy allows policyholders to adjust their premium payments and death benefits while also offering a variety of investment options for the cash value component. This combination provides both the flexibility of universal life insurance and the potential for higher returns through investment performance.


When does a life settlement investment occur?

Life settlement investment occurs when there is a sale of an existing life assurance policy to a third party which is higher than the cash surrender value of the investment.


Which type of life insurance policy combines term insurance and investment elements?

Universal life


How does a typical variable life policy investment account grow?

A typical variable life policy investment account grows based on the performance of the underlying investments chosen by the policyholder, such as stocks, bonds, or mutual funds. The cash value of the policy fluctuates with market conditions, meaning it can increase or decrease depending on the performance of those investments. Additionally, the policyholder can allocate premiums to different investment options, which can further affect growth. It's important to note that any growth is subject to investment risks, including potential loss of principal.


What is the Main advantage of diversification as an investment policy is what?

The main advantage of diversification as an investment policy is that it reduces risk by spreading investments across various asset classes, sectors, or geographical regions. This strategy helps mitigate the impact of poor performance in any single investment, as losses in one area can be offset by gains in another. Consequently, diversification can lead to more stable returns over time and can enhance the overall resilience of an investment portfolio.

Related Questions

Is alpha particle non fundamental?

Yes, the alpha particle is nonfundamental.


What type of policy combines the flexibility of a universal life policy with investment choices?

The type of policy that combines the flexibility of a universal life policy with investment choices is known as a variable universal life insurance policy. This policy allows policyholders to adjust their premium payments and death benefits while also offering a variety of investment options for the cash value component. This combination provides both the flexibility of universal life insurance and the potential for higher returns through investment performance.


Investment policy of commercial banks in India?

In India, the investment policy of each bank is determined by the bank's administrators meaning each bank has different policies regarding investments.


What is the buying endowment policy?

An endowment policy is purchased through an investment company. It is an investment product that includes life insurance which means if one should die, it will still pay out.


What is the percentage of an investment?

Percent on investment depend upon the bank policy , it depends upon the terms and condition of banks


Foreign investment policies of many economies have come along way since 1990's Briefly discuss as how the present plocy is different from the past?

I want know the defference between present policy of foreign investment and past policy of foreign investment


The main advantage of diversification as an investment policy is that it?

Reduces risks to investors


When does a life settlement investment occur?

Life settlement investment occurs when there is a sale of an existing life assurance policy to a third party which is higher than the cash surrender value of the investment.


An example of investment policy?

An investment policy is a formal document that outlines the guidelines and strategies for managing an investment portfolio. For example, a retirement fund may establish a policy that specifies an asset allocation of 60% equities, 30% bonds, and 10% alternative investments, along with criteria for selecting individual securities based on risk tolerance and expected returns. This policy also typically includes guidelines for rebalancing the portfolio and defines the roles and responsibilities of investment managers. By adhering to this framework, the fund aims to achieve its long-term financial goals while managing risk.


Policy of economic change meant to attract foreign investment to Vietnam?

doi moi


Which of the following is the first step in the investment planning process Identify your goals Learn about investment alternatives Estimate how much you need to accumulate evaluate risk tolerance?

For individual investors who wish to construct an investment portfolio for whatever reason, there is the prior step of ensuring that the potential investor is properly ensured and has an adequate cash reserve (6 months living expenses) before serious consideration can be made of investing in anything. Beyond that however, constructing an investment policy statement is the first step. In constructing this statement, articulating your goals and objectives is the first step. These comprise not only the amount of money you wish to raise but also your risk tolerance. the second step is to articulate your constraints. These include all things other than risk that will affect your investment decisions, such as your liquidity needs, the time horizon, the amount of time and skill you can devote to your investment portfolio, etc. At this point, one will have an investment policy statement, which is simply a document that contains the aforementioned information. From this investment policy statement, which is subject to periodic review, and investment strategy can be formulated. This investment policy will then serve to guide you and your investment manager's decisions concerning the application of funds available for use in building the portfolio. At some later stage, a review of investment performance will have to be conducted to see how well it did compared to your expectations. At this time, you may only have reasonable grounds to fire your investment manager if he unilaterally deviated from the strategy created based on the provisions of the investment policy statement. The fact that the portfolio may have underperformed expectations, even though the portfolio manager did not deviate from the investment policy statement, is not good enough grounds. This is simply a risk inherent to investment and is something the investor should be prepared for going into the investment.


What do you under stand by the investment multiplier in what way does it defend the policy of public works on the part of the state during business depression?

what do you under stand by the investment multiplier? in what way does it defend the policy of public works on the part of the state during business depression?