Index Funds Have Provided Competitive Rates of Return Because

question 59

Multiple Choice

Index funds have provided competitive rates of return because

• A) their costs are lower than other stock funds.
• B) it is difficult to outperform the market.
• C) they have very low turnover rates.
• D) they are tax efficient.
• E) all of the above.

---

Definitions:

Laissez-faire Style

A leadership or management style characterized by minimal direct supervision, allowing employees significant autonomy in their day-to-day operations.

Task

A specific assignment or piece of work to be done, usually as part of broader duties or projects.

Group Decisions

Decisions made collectively by a group of individuals rather than an isolated individual, often through a process of discussion and consensus.

Laissez-faire Leader

a leadership style characterized by minimal supervision, where subordinates are given the freedom to make decisions and solve problems on their own.