2023 Investment Outlook Seminar Quiz
To reinforce some of the lessons offered in the 2023 Investment Outlook Seminar, we’ve chosen 10 multiple-choice questions based on presentations by Bob Landaas and Kyle Tetting. The answers are at the bottom of the page and include links to more information.
View the 2023 Investment Outlook Seminar.
Click here for a separate article highlighting Dave Sandstrom’s presentation on updates to retirement enhancement legislation.
1.
What two factors did Bob say are the chief forces in moving stocks up and down in the long run?
(Choose two.)
- Inflation
- Trade deficits
- Corporate earnings
- Interest rates
(See answers below.)
2.
Bob noted that investors benefit from knowing where the markets are going rather than where they are. Which retired athlete did Bob quote with a similar saying?
(Choose one.)
- Joe Namath
- Tom Seaver
- Wayne Gretzky
- Yogi Berra
(See answer below.)
3.
Which two of the following are the mandates of the Federal Reserve?
(Choose two.)
- Fiscal responsibility
- Price stability
- Budget control
- Full employment
(See answers below.)
4.
Which two of the following are the phrases that Bob said makes him cringe?
(Choose two.)
- This time is different.
- It’s all about earnings and interest rates.
- Trust me.
- It’s time in the market, not timing the market.
(See answers below.)
5.
What is a soft landing?
(Choose one.)
- Bringing inflation down without going into recession
- Bringing deficits down without raising taxes
- Bringing interest rates down without raising unemployment
- Bringing deficits down without raising interest rates
(See answer below.)
6.
Which economist did Bob credit for figuring out that it’s possible to support lower unemployment and still not trigger inflation?
(Choose one.)
- Alan Greenspan
- Harry Markowitz
- Edmund Phillips
- Robert Shiller
(See answer below.)
7.
When Kyle noted the relative strength of the U.S. economy, which one of the following did he cite as evidence?
(Choose one.)
- Household balance sheets
- Corporate profit margins
- Department of Revenue collections
- The earnings yield
(See answer below.)
8.
Which economist did Kyle credit for figuring out that it’s possible to balance stocks and bonds to optimize investment returns while minimizing risk?
(Choose one.)
- Alan Greenspan
- Harry Markowitz
- Edmund Phillips
- Robert Shiller
(See answer below.)
9.
Along with Bob, Kyle explained how an inverted yield curve doesn’t necessarily mean a downturn is looming. Which one of the following was their definition of an inverted yield curve?
(Choose one.)
- When long-term interest rates are higher than short-term rates
- When the earnings yield is higher than the 10-year Treasury yield
- When the 10-year Treasury yield is higher than the earnings yield
- When short-term interest rates are higher than long-term rates
(See answer below.)
10.
Kyle showed the gap narrowing between the earnings yield on the S&P 500 and the yield on the 10-year U.S. Treasury bill. Which one of the following describes the point he was making?
(Choose one.)
- Investors might as well rebalance more toward stocks.
- Investors are getting less of a premium for taking risk.
- The model 60/40 stock-bond mix is irreparably broken.
- Investors might as well rebalance more toward cash.
(See answer below.)
Answers
1.
c. Corporate earnings
d. Interest rates
Learn more
Valuing Investments: Price-Earnings Ratio, a Money Talk Video with Dave Sandstrom
Earnings, interest rates and valuations, a Money Talk Video with Brian Kilb
What to make of earnings season, a Money Talk Video with Dave Sandstrom
2.
c. Wayne Gretzky
Learn more
Skating through the latest uncertainty, by Kyle Tetting
2023 outlooks not bound by the calendar, by Kyle Tetting
Diversification beats forecasts, a Money Talk Video with Brian Kilb
3.
b. Price stability
d. Full employment
Learn more
The Fed: What investors should know, a Money Talk Video with Dave Sandstrom
Follow the Fed with interest, a Money Talk Video with Bob Landaas
Fed needs tools, time, incremental tuning, by Kyle Tetting
4.
a. This time is different.
c. Trust me.
Learn more
Math hints on bonds, balance, recession, by Kyle Tetting
Fed needs tools, time, incremental tuning, by Kyle Tetting
War in Ukraine reminds us of role for bonds, by Kyle Tetting
5.
a. Bringing inflation down without going into recession
Learn more
No recession yet, the White House says, by Joel Dresang
The Fed: What investors should know, a Money Talk Video with Dave Sandstrom
Recession in the rearview, what’s next? by Kyle Tetting
6.
c. Edmund Phillips
Learn more
Halfway through 2023, outlook improving, by Kyle Tetting
Seeing blue sky through cloudy forecasts, by Kyle Tetting
The Phillips Curve Economics Theory Explained, from Investopedia
7.
a. Household balance sheets
Learn more
Spend to save the economy, by Joel Dresang
Math hints on bonds, balance, recession, by Kyle Tetting
Revisit balance: Gain from Powell’s “pain,” by Kyle Tetting
8.
b. Harry Markowitz
Learn more
Allocation to optimize reward vs. risk, a Money Talk Video with Dave Sandstrom
Efficiently allocating assets, a Money Talk Video with Steve Giles
Talking Money: Modern Portfolio Theory, a Money Talk Video with Kyle Tetting
9.
d. When short-term interest rates are higher than long-term rates
Learn more
Leaning into the curve, by Joel Dresang
Talking Money: Yield Curve, a Money Talk Video with Kyle Tetting
The data behind the fear of yield curve inversions, from the Federal Reserve Bank of St. Louis
10.
b. Investors are getting less of a premium for taking risk.
Learn more
Investor risks of action/inaction, by Kyle Tetting
Earnings Yield: Valuing Stocks vs. Bonds, a Money Talk Video with Kyle Tetting
Focus on fundamentals to face volatility, a Money Talk Video with Steve Giles
PREVIOUS MONEY TALK QUIZZES
(initially posted Nov. 6, 2023)
Not a Landaas & Company client yet? Click here to learn more.
More information and insight from Money Talk
Money Talk Videos
Follow us on Twitter.