Which of the Following Is a Feature of Index Funds

question 31

Multiple Choice

Which of the following is a feature of index funds?

• A) They have lower fees.
• B) They select and hold stocks to match the performance of a stock index.
• C) They do not require managers to select stocks and decide when to buy and sell.
• D) All of the above.

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Definitions:

Experience

encompasses the knowledge or practical wisdom gained from what one has observed, encountered, or undergone in life or in a particular field.

Sustainability

A commitment to a lifestyle that meets the needs of the present without compromising the ability of future generations to meet their own needs.

Marketing Mix

A set of controllable, tactical marketing tools that a company uses to produce a desired response from its target market; traditionally includes product, price, place, and promotion (the 4Ps).

Forecast Potential

The anticipated performance or success of a product, service, or business within a specific period.