Index Funds Merely Attempt to Match the Performance of Some

question 82

True/False

Index funds merely attempt to match the performance of some benchmark, not to outperform it.

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Definitions:

Mistakenly Made

Created or performed in error, not aligning with the intended outcome or specification.

Generate Losses

To incur negative financial results, typically by spending more than is earned or received in revenue.

Capital Market

A financial market in which long-term debt and equity-backed securities are bought and sold, serving as a platform for raising long-term funds.

Present Value

The present value of a future amount of money or series of payments, calculated using a predetermined interest rate.