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Which Statement Is Not True About Index Funds as Compared

Question 18

Multiple Choice

Which statement is not true about index funds as compared to actively managed funds?


A) They have lower expense ratios.
B) They tend to be less profitable than actively managed funds.
C) They usually have lower turnover in buying and selling assets than actively-managed funds.
D) They tend to have lower capital gains tax than actively managed assets because the assets are usually held longer before being sold.

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