Which One of the Following Statements Is Correct

question 60

Multiple Choice

Which one of the following statements is correct?

• A)Professional money managers outperformed the Vanguard 500 Index Fund on an annual basis more than half the time for the period 1986-2014.
• B)Purchasing and holding a broad-based index fund is a highly recommended means of investing.
• C)The number of general equity mutual funds has decreased over the past 20 years due to their underperformance as compared to index funds.
• D)The survivorship bias lowers the returns earned by professional money managers as a group.
• E)In an efficient market, there is no need for professional money managers.