Help
Course Catalog > Funds > 500
Funds 502: Fund Warning Signs

Test your knowledge

Choose wisely. There is only one correct answer to each question.

0%
Keep studying!
Review your answers below to learn more.
1.
A funds asset growth can lead to many changes. Which of the following is often one of them?
Choose wisely. There is only one correct answer.
All of the above. All of these are possible effects of asset growth.
2.
Which government source provides you with information on funds?
Choose wisely. There is only one correct answer.
Securities and Exchange Commission. The Securities and Exchange Commission provides the EDGAR database of information on funds.
3.
As a mutual fund family grows, its funds will continue to perform their original roles.
Choose wisely. There is only one correct answer.
False. Sometimes a fund changes its focus, for example from small-cap to mid-cap.
4.
Which type of fund is least likely to be affected by a change in management?
Choose wisely. There is only one correct answer.
An index fund. Index funds mimic indexes; no matter who is managing, the selection of stocks will be according to that benchmark.
5.
If a mutual fund starts out as a small-cap fund, it may eventually become a mid-cap or large-cap fund.
Choose wisely. There is only one correct answer.
True. Some funds change their focus years later.