Which of the following statements about mutual funds is false


Asked by wiki @ in Social Studies viewed by 44 People


Which of the following statements about Mutual Funds is FALSE?

A. Mutual funds that are actively managed by a fund manager are trying to "beat the market" averages.
B. Active mutual fund managers charge fees of about 1% on average.
C. An advantage of investing in mutual funds is that you don't have to pick individual stocks and bonds.

Answered by wiki @



Statement that is wrong as regards Mutual Fund is C:An advantage of investing in mutual funds is that you don't have to pick individual stocks and bonds.

  • A mutual fund can be regarded as type of financial vehicle that is been created by pool of money that is been gathered from many investors, so as to invest in securities like stocks, bonds.

  • This funds are been managed by fund manager which usually charge fees of about 1% on average.

Therefore, option C is correct.

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