Which Statement Best Describes the Pattern in the Returns of Index

question 126

Multiple Choice

Which statement best describes the pattern in the returns of index funds?

• A) They typically have about the same rate of return as more actively managed funds.
• B) They typically have lower rates of return than more actively managed funds.
• C) There is no pattern; they may have either higher or lower rates than more actively managed funds.
• D) They typically have higher rates of return than more actively managed funds.

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