The Key Idea Behind Constructing an Index Fund Is to Choose

question 21

Multiple Choice

The key idea behind constructing an index fund is to choose a portfolio of securities that

• A) is a mix of growth-oriented and income-oriented stocks.
• B) minimizes risk without sacrificing liquidity.
• C) mimics the performance of a broad market index.
• D) balances short-term and long-term investments.

---

Definitions:

Pregnancy

A physiological condition in women and female mammals during which an embryo or fetus develops in the uterus.

Exercising Throughout Pregnancy

Physical activity recommended during pregnancy to improve health outcomes for mother and baby, modified according to each trimester.

Heart-rate Maximum Method

A formula used to estimate an individual's maximum rate of heartbeat during intense physical activity.

Maximum Heart Rate

The highest number of times your heart can safely beat in a minute during maximum physical exertion, used to guide exercise intensity.