A Mutual Fund Manager Must Demonstrate High Ability to Beat

question 138

True/False

A mutual fund manager must demonstrate high ability to beat the market over a 1-year span.

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Definitions:

Crystallized Intelligence

The ability to use learned knowledge and experience, which typically increases with age.

Fluid Intelligence

The capacity to reason quickly and to think abstractly, often considered independent of learning, experience, and education.

Short-Term Memory

The part of the memory system that is responsible for holding a small amount of information in an active, readily available state for a short period of time.

General Slowing

A decrease in the speed of cognitive processes and physical movements, often associated with aging or certain neurological conditions.