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The Major Difference Between Active and Passive Mutual Funds Is

Question 87

Multiple Choice

The major difference between active and passive mutual funds is that active funds:


A) are classed as mutual funds, but passive funds are not.
B) involve stock picks by managers, while passive funds involve stock picks by the investors themselves.
C) are more risky than passive funds.
D) involve stock picks by managers, while passive funds match the movements of a broad market index.

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