The Performance of Index Funds

question 61

Multiple Choice

The performance of index funds

• A)usually falls short of the performance of actively-managed funds.
• B)provides evidence in support of the notion that stock prices do not depend upon supply and demand.
• C)provides evidence in support of the efficient markets hypothesis.
• D)provides evidence in support of the notion that stock-market participants are irrational.

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Definitions:

Prenatal Development

The development and growth journey inside the womb, starting from conception and culminating in birth.

Adult Personality

The patterns of thought, feeling, and behavior that are characteristic of an individual and that are typically fully developed or matured in adulthood.

Early Childhood

A developmental period ranging from birth to eight years old, focusing on the growth and learning of young children.

Stability And Change

A concept in psychology that recognizes the balance between the consistency of an individual's personality traits over time (stability) and their potential to change and evolve (change).