Fidelity Contrafund (FCNTX) portfolio managers are very valuation conscious in their stock selection. If there aren’t enough attractive investment opportunities, they let cash build in the mutual fund. This at times may cause performance drag in when markets rally, but favorable risk-adjusted returns in a declining market. FCNTX pays mutual fund shareholders once a year in December. You currently own 1,025 shares in FCNTX in a taxable investment account. On December 27, 2018, YAFFX distributed: $ 0.311 dividends per share $ 3.6276 long-term capital gains per share If your federal income tax rate is 22%, what is your tax liability for 2018? $611 $596 $628 $610

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Q: invest

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A: Current fund value = $20 million Beta of the portfolio = 2.7 Rf = 5.5% (Rm - Rf) = 7%

Portfolio Management

Portfolio management is the process by which an investor decides that how the person will invest in a variety of assets in order to get a desired return in the future. A portfolio means a pool of assets that includes securities, bonds, and other investment instruments which helps in risk minimization of the money that has been invested. In other words, it can be said that a portfolio means a combination of assets in which an investor decides to invest their money in order to get a lump sum return in the future or even a series of cash flow that the person is expecting at the end of their job life.