Which of the Following Is Not Considered a Passive Equity

question 42

Multiple Choice

Which of the following is not considered a passive equity investment:

• A) investing in a sector ETF.
• B) investing in an S&P 500 index mutual fund.
• C) investing in a multi-strategy hedge fund.
• D) investing in a Russell 2000 index mutual fund.

---

Definitions:

Bumper Crop

An unusually large harvest of a particular crop, often due to favorable growing conditions, exceeding average yields.

Production Possibility Frontier

A curve depicting the maximum output combinations of two goods or services an economy can achieve when using all resources efficiently.

Economic Problem

The fundamental challenge of having limited resources to meet unlimited wants, necessitating choices and priorities in resource allocation.

Scarce Resources

Resources that are limited in supply and cannot fulfill all human wants and needs completely, leading to the necessity of choices and priorities in their use.