Which of the Following Is True Regarding Value Funds and Growth

question 48

Multiple Choice

Which of the following is true regarding value funds and growth funds?

• A) Value funds seek stocks that are cheap by fundamental standards while growth funds seek stocks with high current earnings.
• B) Growth funds typically outperform value funds.
• C) Value funds and growth funds tend to perform well at different times.
• D) Value funds typically have higher P/E ratios than growth funds.

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