Mutual funds are attractive because:

Question

Quizplus · Accepted Answer

Mutual funds provide greater diversification at a lower cost than what most investors could obtain individually. This is because a mutual fund pools the money of multiple investors and uses it to buy a diversified portfolio of stocks, bonds, or other securities. This allows investors to spread their money across multiple investments and reduce the risk of loss. Mutual fund managers also have access to research and analysis that individual investors may not have, allowing them to make better investment decisions.

Mutual Funds Are Attractive Because