Which of the following characteristics would you expect the stocks in a value fund to exhibit?
A) Relatively low beta and relatively high dividend yield
B) Relatively high price-to-book and relatively low price-to-earnings
C) Relatively high beta and relatively low dividend yield
D) Relatively high current ratio and relatively low debt ratios

Question

Quizplus · Accepted Answer

Value funds typically invest in stocks that are undervalued by the market, which often have a relatively low beta (indicating less volatility) and a relatively high dividend yield, as they are usually mature companies with stable earnings.

Which of the Following Characteristics Would You Expect the Stocks