Which refers to a mutual fund for which its manager buys and sells stocks regularly in order to maximize the fund's returns?
A) liquid fund
B) efficient market fund
C) active fund
D) passive fund

Question

Quizplus · Accepted Answer

An active fund is a type of mutual fund in which its manager uses various strategies, analyses, and research to buy and sell stocks actively in an attempt to outperform the market and generate maximum returns for investors. This is in contrast to passive funds that aim to mimic the performance of a specific market index. Liquid funds are a type of fund that invests in short-term and highly liquid debt securities, while efficient market funds are designed to match the returns of a specific market index.

Which Refers to a Mutual Fund for Which Its Manager