Which is NOT a 'key to success' of the balance practice?

Question

Options

• AFindings may be presented in a graphical format
• BBalancing follows preparation of the Portfolio Strategy and Delivery Plan
• CAlgorithms and investment rules may guide decision-making
• DThe portfolio governance body should understand its role in balancing the portfolio

• A
  7% (3)
• B
  11% (5)
• C
  4% (2)
• D
  78% (35)

Explanation

Option D is the odd one out because, while governance body awareness is valuable generally, it is not listed as a specific key to success for the balance practice in portfolio management frameworks (such as MoP). The balance practice has its own defined success factors, and governance body role-clarity belongs more broadly to governance principles, not the balance practice specifically.

• A is wrong (i.e., it IS a key to success) because graphical formats - such as bubble charts or portfolio dashboards - are explicitly recommended to communicate balance findings clearly to decision-makers.
• B is wrong because sequencing matters: balancing is designed to occur after the Portfolio Strategy and Delivery Plan are prepared, ensuring decisions are grounded in strategic context.
• C is wrong because algorithms and investment rules (e.g., weighting criteria, scoring models) are recognized as objective aids that reduce bias in balancing decisions.

Memory tip: Think of the balance practice keys as being about tools and timing - graphical tools (A), algorithmic tools (C), and the right timing in the process (B). Option D sounds reasonable but is a governance concept that doesn't belong on that specific list, making it the classic "plausible distractor" to watch for on exams.

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