U.S. Securities & Exchange Commission
SEC Seal
Home | Previous Page
U.S. Securities and Exchange Commission

d. don't know

The correct answer is: c. managed by experts at picking investments

A diversified mutual fund invests in a wide variety of stocks, bonds, or other securities. The manager of the fund makes decisions about which stocks or bonds to buy, based on the objective of the fund. When you buy shares of a mutual fund, you share in the profits and losses of the portfolio, and pay your share of the expenses.

Go to the next question ...

Question 8, Answer d