Question 1
When evaluating a mutual fund prior to deciding to invest, you should consider
◦ the breadth of the stocks in which the fund is investing.
◦ the industry or industries in which the fund is investing.
◦ performance through the financial crisis in 2008-2010.
◦ both factors in both the breadth of the stocks in which the fund is investing and the industry or industries in which the fund is investing.
Question 2
A ________ mutual fund is a good investment for "rainy day" funds, while a ________ mutual fund is a good type of investment for funds earmarked for retirement in 25 years.
◦ municipal bond; corporate income
◦ money market; global growth
◦ diverse equity; money market
◦ short term junk bond; long term junk bond