Which Statement Is NOT True

question 248

Multiple Choice

Which statement is NOT true?

• A) Portfolio managers should diversify investments.
• B) The promise of higher returns is accompanied by higher risk.
• C) A single investor can consistently beat the market over the long term.
• D) Active stock markets are an important part of the economy.

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Definitions:

Partnership

A business structure where two or more individuals manage and operate a business in accordance with terms set out in a partnership agreement.

Dissociate

To formally end association or involvement with a business entity or partnership.

Partnership

A business operation legally established by two or more people sharing both profits and management duties.

Equal Right

The principle that all individuals should have the same rights and opportunities under the law.