A Significant Advantage of Index Funds Is Their

question 56

Multiple Choice

A significant advantage of index funds is their:

• A)lower market price than other types of funds.
• B)sector rotation.
• C)tax efficiency.
• D)minimization of risk.

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Definitions:

Decision-making Process

The series of steps or stages involved in choosing among alternatives to determine the best course of action.

Styles Of Decision Making

Describes the various approaches and techniques individuals or groups can use to make decisions, which can range from analytical to intuitive.

Time Orientation

Whether a culture’s values are oriented toward the future (long-term orientation) or toward the past and present (short-term orientation).

Social Decision Schemes

Frameworks that groups use to combine individual preferences and opinions into a collective decision.