Which of the Following Statements Concerning Index Funds and Actively

question 29

Multiple Choice

Which of the following statements concerning index funds and actively managed funds is true?

• A) Their performance is about equal.
• B) They tend to have an inverse relationship.
• C) Actively managed funds tend to outperform index funds.
• D) Index funds tend to outperform actively managed funds.

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Definitions:

Hypoxemia

A medical condition where there is a deficiency of oxygen in the blood, leading to compromised oxygen delivery to tissues.

Hematocrit

A blood test measurement that indicates the percentage of red blood cells in the total blood volume.

Glycosylated Hemoglobin

Also known as hemoglobin A1C, a measure of the average blood sugar levels over the past two to three months, used to monitor diabetes control.

Lung Compliance

A measure of the lung's ability to stretch and expand; low compliance indicates stiff lungs, while high compliance signifies lungs that are too easy to inflate.