Which one of the following is true about bond income funds?
A) They invest in bonds that provide steady coupon cash flows and are quite varied in their risk level.
B) They could be made up of a portfolio of entirely corporate bonds (risky) or a portfolio of entirely Treasury issues (no default risk) or of mortgage-backed securities.
C) They may be exposed not only to default risk, but also to interest rate risk.
D) They are attractive to investors close to retirement age as the income stream of fund's instruments provides them with necessary income.
E) All of the above are true.
Correct Answer:
Verified
Q62: The arbitrage activities of hedge funds seeks
Q63: An open end mutual fund owns 1500
Q64: Unit investment trusts provide all of the
Q65: Money market mutual funds (MMMFs) became popular
Q66: Which of the following is true about
Q68: Closed-end funds can sell at a discount
Q69: Which one of the following is not
Q70: Investment funds provide investors all of the
Q71: 12b-1 fees help mutual funds pay for
A)
Q72: Hedge funds often seek to take advantage
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents