IIA
IIA-CFSA · Question #496
All of these are disadvantages of mutual funds EXCEPT:
The correct answer is B. Lack of control. Investors typically cannot ascertain the exact makeup of a fund's portfolio at any given time, nor can they directly influence which securities the fund manager buys and sells or the timing of those trades. This is because of _______ in mutual funds.
Analyze
Question
All of these are disadvantages of mutual funds EXCEPT:
Options
- APrice uncertainty
- BLack of control
- CCosts despite negative returns
- DAll of these
How the community answered
(52 responses)- A12% (6)
- B81% (42)
- C2% (1)
- D6% (3)
Explanation
Investors typically cannot ascertain the exact makeup of a fund's portfolio at any given time, nor can they directly influence which securities the fund manager buys and sells or the timing of those trades. This is because of _______ in mutual funds.
Topics
#mutual funds#investment disadvantages#financial analysis
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