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Which Statement Best Describes the Pattern in the Returns of Index

Question 126

Multiple Choice

Which statement best describes the pattern in the returns of index funds?


A) They typically have about the same rate of return as more actively managed funds.
B) They typically have lower rates of return than more actively managed funds.
C) There is no pattern; they may have either higher or lower rates than more actively managed funds.
D) They typically have higher rates of return than more actively managed funds.

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