Share- Index Futures Can Substitute for Indexed Managed Funds in Conservative

question 9

True/False

Share- index futures can substitute for indexed managed funds in conservative portfolios.

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Definitions:

Government Regulation

Rules and laws established by governmental bodies designed to control and govern the conduct of individuals, businesses, and other organizations within a society.

Economic Efficiency

A state where resources are allocated in a way that maximizes the production of goods and services. At this point, it is not possible to improve the welfare of one individual without impairing another individual's welfare.

Centrally Planned Economies

Economic systems where the government makes all decisions on the production and consumption of goods and services.

Opportunity Cost

The cost of forgoing the next best alternative when making a decision, used in evaluating the trade-offs in economics.