An Investment Consultant Is Recommending a Certain Class of Mutual

question 157

True/False

An investment consultant is recommending a certain class of mutual funds to the clienteles based on its exceptionally high probability of gain.It is an ethical practice to explain to the clienteles what the basis of her probability estimate is.

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Definitions:

Bias

A prejudice in favor of or against one thing, person, or group compared with another, usually in a way considered to be unfair.

Bias

An inclination or prejudice for or against one person or group, especially in a way considered to be unfair.

Sociological Research

The systematic study of societies and social behavior, employing various methods to collect and analyze data to understand social phenomena.

Validity

The degree to which a measure actually measures what it is intended to measure.