Most professionally managed equity funds generally __________.
A)outperform the S&P 500 index on both raw and risk-adjusted return measures
B)underperform the S&P 500 index on both raw and risk-adjusted return measures
C)outperform the S&P 500 index on raw return measures and underperform the S&P 500 index on risk-adjusted return measures
D)underperform the S&P 500 index on raw return measures and outperform the S&P 500 index on risk-adjusted return measures
E)match the performance of the S&P 500 index on both raw and risk-adjusted return measures

Question

Quizplus · Accepted Answer

According to multiple studies and research, most professionally managed equity funds tend to underperform the S&P 500 index on both raw and risk-adjusted return measures. This is due to various reasons such as high fees, turnover, and active management strategies that make it difficult to consistently beat the market.

Most Professionally Managed Equity Funds Generally __________