Questions from General Investment

Q: Part 3 in the previous chapter requested that you obtain ratios such

Part 3 in the previous chapter requested that you obtain ratios such as the return on equity and the profit margin. A high profit margin and a high return on equity are desirable, but those data are d...

Q: Are mutual funds subject to federal income taxation? Are distributions from

Are mutual funds subject to federal income taxation? Are distributions from mutual funds taxable?

Q: What is a loading charge? Do all investment companies charge this

What is a loading charge? Do all investment companies charge this fee?

Q: What is a specialized mutual fund? What differentiates large and small

What is a specialized mutual fund? What differentiates large and small cap funds? Value and growth funds?

Q: What advantage do “families” of funds offer?

What advantage do “families” of funds offer?

Q: What differentiates a traditional savings account at a commercial bank from a

What differentiates a traditional savings account at a commercial bank from a money market mutual fund? Are investments in money market funds as safe as savings accounts and certificates of deposit wi...

Q: What assets do money market mutual funds acquire? Could an individual

What assets do money market mutual funds acquire? Could an individual investor with $12,345 to invest in a safe, short-term security acquire these assets?

Q: What is a moving average? What is the significance when a

What is a moving average? What is the significance when a stock’s price crosses a moving average of the stock’s price?

Q: Should an investor expect a mutual fund to outperform the market?

Should an investor expect a mutual fund to outperform the market? If not, why should the investor buy the shares?

Q: What are the differences among loading fees, exit fees, and

What are the differences among loading fees, exit fees, and 12b-1 fees?