Investors Purchase Units in an Unlisted Managed Fund Directly from the Fund

question 37

True/False

Investors purchase units in an unlisted managed fund directly from the fund.

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Definitions:

Retained Earnings

The portion of net earnings not paid out as dividends but retained by the company to be reinvested in its core business or to pay debt.

Stockholders' Claims

The rights of shareholders to a company's assets, often in the context of liquidation or dividend distributions.

Dividend Yield

A financial gauge showing the comparison between a company's annual dividend payments and its share price.

Cash Dividends

Payments made by a company to its shareholders out of its profits or reserves.