The practice that involves short-term trading of mutual funds seeking to take advantage of short-term discrepancies between the price of a mutual fund's shares and out-of-date values on the securities in the fund's portfolio is called

Question

Quizplus · Accepted Answer

Market timing involves short-term trading of mutual funds with the goal of taking advantage of short-term discrepancies between the price of a mutual fund's shares and out-of-date values on the securities in the fund's portfolio. This practice can harm long-term investors by increasing the volatility of the fund and potentially lowering overall returns.

The Practice That Involves Short-Term Trading of Mutual Funds Seeking