Since There Are No Tax Consequences Arising from Trades in a 401(k)plan,it

question 38

Multiple Choice

Since there are no tax consequences arising from trades in a 401(k) plan,it makes sense

• A)to trade often in an attempt to time the markets.
• B)to ignore this feature and stick to a sound investment approach.
• C)not to participate in the plan since you can't write off tax losses.
• D)to trade aggressively if you are young and have a long investment horizon,but to be more conservative if you are nearing retirement.

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