Relative to actively-managed bond funds, a major advantage of bond index funds is their:
A) higher performance.
B) ability to shelter income from taxes.
C) lower expense ratios.
D) lower duration.

Question

Quizplus · Accepted Answer

Bond index funds typically have lower expense ratios compared to actively-managed bond funds because they passively track a bond index and do not require active management.

Relative to Actively-Managed Bond Funds, a Major Advantage of Bond