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Variable Returns from an Investee Include

Question 21

Multiple Choice

Variable returns from an investee include:


A) dividends from ordinary shares that will change based on the profit performance of the investee
B) fixed interest payments from a bond, as they expose the investor to the credit risk of the issuer of the bond, namely the investee
C) fixed performance fees for management of the investee's assets, as they expose the investor to the performance risk of the investee.
D) all of the options are correct.

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