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Because an Index Mutual Fund Is a Mirror Image of a Specific

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Because an index mutual fund is a mirror image of a specific index,the dollar value of a share in an index fund increases when the index increases.


Definitions:

Insulation

Insulation refers to materials used to reduce the rate of heat transfer, or the method of installing such materials to help maintain a desired temperature in buildings or protective clothing.

Proximate Explanation

An explanation that focuses on the immediate cause or mechanism of a biological trait or behavior.

Singing

The act of producing musical sounds with the voice, often characterized by a distinct pitch, rhythm, and a series of notes that sound pleasing to the listener.

Neurons

Specialized cells of the nervous system that transmit information to other nerve cells, muscle, or gland cells through electrical and chemical signals.

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