Which One of the Following Statements Is False

question 72

Multiple Choice

Which one of the following statements is false?

• A)As an investor,you should be concerned with how long a fund manager has been managing a mutual fund.
• B)The fund manager chooses when to buy and sell securities in the fund.
• C)If a manager has been managing a fund for 5 or 10 years,it is time to change managers and get someone with new ideas.
• D)The fund manager is responsible for choosing the securities that are contained in the fund.
• E)Managed funds have higher fees than index funds.

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Definitions:

Lateral Competition

Competition between companies that offer the same or similar goods or services within the same industry.

Sociocultural

The combination of social and cultural factors that affect individual development.

Demographic

Statistical data relating to the population and the particular groups within it, used in marketing, planning, and social studies.

Technological

Relating to or involving technology, especially in the context of new developments.