Exam 4: Mutual Funds and Other Investment Companies

Which of the following is true regarding equity mutual funds? I) They invest primarily in stock. II) They may hold fixed-income securities, as well as stock. III) Most hold money market securities, as well as stock. IV) Two types of equity funds are income funds and growth funds.

A mutual fund had year-end assets of $437,000,000 and liabilities of $37,000,000. If the fund NAV was $60.12, how many shares must have been held in the fund?

You purchased shares of a mutual fund at a price of $20 per share at the beginning of the year and paid a front-end load of 5.75%. If the securities in which the fund invested increased in value by 11% during the year, and the fund's expense ratio was 1.25%, your return if you sold the fund at the end of the year would be

Of the following types of ETFs, an investor who wishes to invest in a diversified portfolio that tracks the Dow Jones Industrials should choose

A mutual fund had year-end assets of $250,000,000 and liabilities of $4,000,000. There were 3,750,000 shares in the fund at year end. What was the mutual fund's net asset value?

A mutual fund had year-end assets of $250,000,000 and liabilities of $4,000,000. There were 3,750,000 shares in the fund at year end. What was the mutual fund's net asset value?

Assume that you purchased shares of a mutual fund at a net asset value of $10.00 per share. During the year, you received dividend income distributions of $0.05 per share and capital gains distributions of $0.06 per share. At the end of the year, the shares had a net asset value of $8.16 per share. What was your rate of return on this investment?

A mutual fund had average daily assets of $4.0 billion in 2016. The fund sold $1.5 billion worth of stock and purchased $1.6 billion worth of stock during the year. The fund's turnover ratio is

Which of the following would increase the net asset value of a mutual fund share, assuming all other things remain unchanged?

Which of the following statements about real estate investment trusts is true?

Management fees and other expenses of mutual funds may include

The fee that mutual funds use to help pay for advertising and promotional literature is called a

As of 2016, which class of mutual funds had the largest amount of assets invested?

At issue, offering prices of open-end funds will often be

Of the following types of ETFs, an investor who wishes to invest in a diversified portfolio that tracks the Wilshire 5000 should choose

A mutual fund had year-end assets of $521,000,000 and liabilities of $63,000,000. If the fund NAV was $26.12, how many shares must have been held in the fund?

A mutual fund had year-end assets of $327,000,000 and liabilities of $46,000,000. If the fund NAV was $30.48, how many shares must have been held in the fund?

Diversified Portfolios had year-end assets of $279,000,000 and liabilities of $43,000,000. If Diversified's NAV was $42.13, how many shares must have been held in the fund?

Which of the following is true regarding equity mutual funds? I) They invest primarily in stock. II) They may hold fixed-income securities, as well as stock. III) Most hold money market securities, as well as stock. IV) Two types of equity funds are income funds and growth funds.

Assume that you purchased 200 shares of Super Performing mutual fund at a net asset value of $21 per share. During the year, you received dividend income distributions of $1.50 per share and capital gains distributions of $2.85 per share. At the end of the year, the shares had a net asset value of $23 per share. What was your rate of return on this investment?