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Business, 15.07.2020 01:01 Lolgirl5862
An Investment Adviser uses a third-party money manager to manage the accounts of his more sophisticated clients. These customers are older and are conservative in their objective, seeking current income and moderate growth. The third-party money manager has not achieved acceptable investment returns this year and changes its investment strategy the following year to aggressively trade speculative stocks, in an effort to improve performance. During the first quarter, using the new strategy, the customers' portfolios drop 15% in value and many of them write complaint letters to the Adviser. Which statement is TRUE
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