The advantages offered by investment companies
Include
1) professional management
2) avoidance of income taxes by the investor
3) portfolio diversification

Question

Quizplus · Accepted Answer

Choice 1 is correct as investment companies have professional fund managers who manage the investments in a skilled and knowledgeable manner. 
Choice 3 is also correct, as investment companies offer portfolio diversification, which is spreading investments across different asset classes and thereby reducing the risk associated with investments.
However, choice 2 is not entirely accurate as it depends on the specific investment company and the tax laws of the country in which it operates. While some investment companies may offer tax advantages, not all do. Thus, only choices 1 and 3 are the correct advantages offered by investment companies.

The Advantages Offered by Investment Companies