All Courses > ETFs > 100
ETFs 105: Exchange-Traded Funds and Fixed Income

Find out what you learned

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

0%
Keep studying!
Review your answers below to learn more.
1.
Low fees are less important in bond ETFs than in comparable mutual funds.
Choose wisely. There is only one correct answer.
False. Since bonds are traditionally a low-return investment, the minimization of fees is more important.
2.
Fixed income is more actively traded than stocks?
Choose wisely. There is only one correct answer.
False. Stocks are traded much more frequently than bonds.
3.
Which exchange-traded fund is exposed to more risk?
Choose wisely. There is only one correct answer.
An emerging-markets-bond ETF that hold 10-15 years to maturity. Emerging-markets bonds are one of the most volatile asset classes, and long-maturity bonds carry the most interest-rate risk.
4.
When you buy a fixed-income ETF that focuses on a particular type of bond, you expose yourself to additional risks.
Choose wisely. There is only one correct answer.
True. As a rule, a limited focus opens up a new field of risks.
5.
Individual bonds trade on the exchange like ETFs?
Choose wisely. There is only one correct answer.
False. Bonds are traded on the over-the-counter market.
DONE