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Basic Question 0 of 4
Which one is more likely to offer incentives to motivate managers to "behave like owners"?
B. Public equity
C. Bond
A. Private equity
B. Public equity
C. Bond
User Contributed Comments 2
| User | Comment |
|---|---|
| johntan1979 | B does the same thing too, but I guess in terms of the level, A > B |
| dbedford | I am aware of companies that award what I call private shares to executives, that tend to pay out a good deal and then are redeemed and given back to the company at the end of the year and re awarded for current year performance and the cycle continues. |
I was very pleased with your notes and question bank. I especially like the mock exams because it helped to pull everything together.
Martin Rockenfeldt
Learning Outcome Statements
describe qualities of effective central banks; contrast their use of inflation, interest rate, and exchange rate targeting in expansionary or contractionary monetary policy; and describe the limitations of monetary policy
CFA® 2026 Level I Curriculum, Volume 1, Module 4.