Building an Optimal Portfolio: Balancing Active and Passive Strategies

The video tutorial guides viewers through building a portfolio using American Airlines and Apple stocks. It emphasizes the importance of using Yahoo Finance for historical price analysis and demonstrates how to analyze stock performance. The tutorial highlights the risks and benefits of active and passive portfolios, using American Airlines and Apple as examples. It provides a comparative analysis of the two stocks, illustrating how to balance active and passive investments.

What is the primary purpose of using Yahoo Finance in building a portfolio?

• To connect with other investors

• To access historical price data for analysis

• To find the latest news about stocks

• To trade stocks directly

Which of the following is NOT a use of historical price data?

• Connecting with financial advisors

• Downloading data for offline use

• Performing statistical analysis

• Predicting future stock prices

What was the price range of American Airlines stock from 2006 to 2023?

• $10 to $50

• $8.25 to $40

• $15 to $45

• $5 to $30

Why is American Airlines considered a good example for an active portfolio?

• It has a stable price over the years

• It shows significant price fluctuations

• It is a low-risk investment

• It consistently pays high dividends

How did Apple stock perform compared to American Airlines in 2019?

• American Airlines outperformed Apple

• Apple's stock increased significantly more than American Airlines

• Both stocks performed equally well

• Apple's stock decreased while American Airlines increased

What strategy is suggested for handling a mix of active and passive portfolios?

• Avoid both active and passive portfolios

• Balance investments between active and passive portfolios

• Invest only in active portfolios

• Invest only in passive portfolios

What is a key difference between American Airlines and Apple stocks over the past five years?

• Both have shown similar growth patterns

• Apple has shown more consistent growth

• American Airlines has been more stable

• American Airlines has outperformed Apple