Future Fund Performance Is the Real Key to Investment Success

question 61

Multiple Choice

Future fund performance is the real key to investment success with mutual funds.One important element to examine when attempting to predict a fund's future performance is the

• A) performance of other funds.
• B) nature of the fund being considered.
• C) future course of the market.
• D) fund's past performance.
• E) all of the above.

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Definitions:

Recession

A significant decline in economic activity spread across the economy, lasting more than a few months, typically visible in real GDP, income, employment, industrial production, and wholesale-retail sales.

Maximum Purchase Price

The highest price a buyer is willing to pay for an asset or property.

Pre-Merger Value

The valuation of a company or asset prior to undergoing a merger or acquisition.

Acquiring Firm

A company that purchases another company in a merger or acquisition to expand its operations or enter new markets.