1. You noticed from the prospectus that the fund you're considering is advertised as a no-load INVESTMENT COMPANY , but there are fees to cover marketing and distribution expenses. These fees are known as
A. loads. C. commissions.
B. fund expenses. D. 12(b)-1 fees.
2. You know that MUTUAL FUNDS can emphasize various investment styles or approaches.You're looking for a diversified portfolio of investment that generates significant capital appreciation and provides current income form interest and dividends. The type of fund you seek is a(n) _______ fund.
A. MONEY MARKET mutual C. balanced
B. growth-and-income D. bond
3. You're seeking a fund that mirrors the returns and risks of the Standard & Poor's 500.Youshould consider a(n)
A. GROWTH FUND . C. balanced MUTUAL FUND .
B. stock unit investment trust. D. INDEX FUND .
4. You're young and have an investment plan that emphasizes growth.You have a hightolerance for risk. A high percentage of your SAVINGS FOR RETIREMENT should be invested in
A. MONEY MARKET accounts. C. stocks.
B. bonds. D. U.S. Treasury securities.
5. You're close to retirement and very adverse to risk.You should invest a high percentage of your assets in
A. stocks. C. commodities.
B. real estate. D. bonds.