CCTFL-001 Exam Questions and Answers

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NEW QUESTION: 1
Aggressive (growth) funds have tended to
A. have portfolio compositions very similar to conservative funds.
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C. underperform conservative funds.
D. have returns about equal to those of conservative funds.
Answer: B
Explanation:
Explanation/Reference:
Explanation:
A study by McDonald found a positive relationship between stated objectives (growth vs. income, for example) and measures of risk. The higher risk was also found to have been positively related to higher return. The objectives of a fund were thus found to have influenced its performance.


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