Del Guerico and Reuter (2013) Report That the Average Underperformance

question 12

Multiple Choice

Del Guerico and Reuter (2013) report that the average underperformance of actively managed mutual funds is driven largely by

• A)sector mutual funds.
• B)index funds.
• C)direct sold funds.
• D)broker sold funds.
• E)bank sold mutual funds.

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Definitions:

Minnesota Multiphasic Personality Inventory (MMPI)

A comprehensive psychological assessment tool that evaluates a wide range of personality traits and psychopathologies based on true/false questions.

Contrasted-Groups Method

A statistical method used in psychometrics to validate the effectiveness of a test by comparing the scores of groups with known differing characteristics.

Validity

The degree to which a test, tool, or study accurately measures or assesses what it is intended to.

Reliability

The degree to which an assessment tool produces stable and consistent results over time.