Questions from General Investment

Q: What are the advantages and disadvantages of mutual fund ownership?

What are the advantages and disadvantages of mutual fund ownership?

Q: Briefly describe how a mutual fund is organized. Who are the

Briefly describe how a mutual fund is organized. Who are the key players in a typical mutual fund organization?

Q: Define each of the following: a. Open-end

Define each of the following: a. Open-end investment companies b. Closed-end investment companies c. Exchange-traded funds d. Real estate investment trusts e. Hedge funds

Q: Describe a back-end load, a low load, and

Describe a back-end load, a low load, and a hidden load. How can you tell what kinds of fees and charges a fund has?

Q: What is the difference between a load fund and a no-

What is the difference between a load fund and a no-load fund? What are the advantages of each type? What is a 12(b)-1 fund? Can such a fund operate as a no-load fund?

Q: Briefly describe each of the following types of mutual funds:

Briefly describe each of the following types of mutual funds: a. Aggressive-growth funds b. Equity-income funds c. Growth-and-income funds d. Bond funds e. Sector funds f. Socially responsible fund...

Q: What is an asset allocation fund, and how does it differ

What is an asset allocation fund, and how does it differ from other types of mutual funds? How does a target date fund work?

Q: If growth, income, and capital preservation are the primary objectives

If growth, income, and capital preservation are the primary objectives of mutual funds, why do we bother to categorize funds by type? Do you think such classifications are helpful in the fund selectio...

Q: Use a financial calculator or an Excel spreadsheet to estimate the IRR

Use a financial calculator or an Excel spreadsheet to estimate the IRR for each of the following investments.

Q: What role do an investor’s personal characteristics play in determining portfolio policy

What role do an investor’s personal characteristics play in determining portfolio policy?