When You Own Shares in a Mutual Fund You Make

question 73

Multiple Choice

When you own shares in a mutual fund you make money in which of the following ways?

• A)As the value of all of the securities held by the mutual fund increase,the value of each mutual fund share also increases.
• B)If a fund receives interest or dividends from its holdings this income is passed on to share holders.
• C)If the fund sells a security for more than it originally paid for it,the shareholders receive this in the form of capital gains.
• D)You receive a portion of the commissions that the fund manager charges for trades.
• E)Only A,B and C are correct.

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