Capital gain distributions result when you decide to sell shares in a mutual fund at a price higher than you paid.

Name: Capital gain distributions result when you decide to sell shares in a mutual fund at a price higher than you paid.
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Question

Quizplus · Accepted Answer

Capital gain distributions are made by the mutual fund itself, not from an individual selling shares. They occur when the fund sells securities at a profit, and these gains are distributed to the shareholders.

Capital Gain Distributions Result When You Decide to Sell Shares