Studies of Mutual Fund Performance

question 14

Multiple Choice

Studies of mutual fund performance

• A)indicate that one should not randomly select a mutual fund.
• B)indicate that historical performance is not necessarily indicative of future performance.
• C)indicate that the professional management of the fund insures above market returns.
• D)A and B.
• E)B and C.

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Definitions:

Ability And Skill

The capacity to perform tasks and actions with competence, often acquired or improved through practice and learning.

Cohesiveness

Refers to the bonds that hold a group together and the feelings of amity and closeness among its members, facilitating collective action and support.

Homogeneous Teams

Teams or groups comprised of members who share similar attributes, backgrounds, or skills.

Hackman

A psychologist known for his work on team effectiveness, emphasizing the importance of group design, leadership, and supportive organizational context.