SECTION 3.1.1.2 TO DETERMINE THE CORRELATION MATRIX IN THE DIFFERENT E...

4.) Which of the following psychological traps best describes the Rogers's team's decision to

give historical correlation more weight in the correlation matrix?

A. Prudence trap

B. Anchoring trap

C. Overconfidence trap

Answer = A

"Capital Market Expectations," John P. Calverley, Alan M. Meder, Brian D. Singer, and

Renato Staub