Which one of the following is not a true statement?
A)Most mutual funds invest in stocks, bonds, and other securities.
B)Diversification provided by a mutual fund reduces risk.
C)The goals of one mutual fund investor may differ from those of another.
D)Since mutual fund managers are professionals, there is no need to evaluate a mutual fund.
E)Mutual fund investments range from very conservative to very speculative investments.

Question

Quizplus · Accepted Answer

It is not true that there is no need to evaluate a mutual fund just because the managers are professionals. It is important to evaluate a mutual fund based on factors such as performance, fees, and investment strategy to ensure it aligns with the investor's goals and risk tolerance.

Which One of the Following Is Not a True Statement