Which Is Not a Major Benefit of a Mutual Fund

question 44

Multiple Choice

Which is not a major benefit of a mutual fund?

• A)No risk
• B)Low initial investment
• C)Diversification
• D)Dividend and capital gains reinvestment

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Definitions:

Standard Deviation

A statistical measure that quantifies the amount of variation or dispersion of a set of data values from its mean.

HMO

Health Maintenance Organization, a medical insurance group that provides health services for a fixed annual fee.

Expected Revenue

The anticipated amount of money a business expects to receive over a certain period, accounting for factors like price and demand for its goods or services.

Subjective Probabilities

Probability estimates based on personal judgment or belief rather than objective statistical analysis.