【正文】 e following types of ETFs, an investor who wishes to invest in a diversified portfolio that tracks the Nasdaq 100 should chooseA.DIA.C.IWM.E.57.Of the following types of ETFs, an investor who wishes to invest in a diversified portfolio that tracks the Russell 2000 should chooseA.DIA.C.IWM.E.58.Of the following types of ETFs, an investor who wishes to invest in a diversified portfolio that tracks the Wilshire 5000 should chooseA.DIA.C.IWM.E.59.Of the following types of ETFs, an investor who wishes to invest in a diversified portfolio that tracks the MSCI Japan Index should chooseA.EWJ.C.IWM.E.60.Of the following types of ETFs, an investor who wishes to invest in a diversified portfolio that tracks the MSCI France Index should chooseA.EWJ.C.IWM.E.61.A mutual fund had average daily assets of $ billion in 2012. The fund sold $600 million worth of stock and purchased $700 million worth of stock during the year. The fund39。%.B.15%.D.20%.s turnover ratio isA.12%.C.25%.E.63.A mutual fund had average daily assets of $ billion in 2012. The fund sold $ billion worth of stock and purchased $ billion worth of stock during the year. The fund39。%.B.15%.D.20%.s turnover ratio isA.%.C.%.E.65.You purchased shares of a mutual fund at a price of $20 per share at the beginning of the year and paid a frontend load of %. If the securities in which the fund invested increased in value by 11% during the year, and the fund39。%.B.%.D.66.You purchased shares of a mutual fund at a price of $12 per share at the beginning of the year and paid a frontend load of %. If the securities in which the fund invested increased in value by 9% during the year, and the fund39。%.B.%.D.67.You purchased shares of a mutual fund at a price of $17 per share at the beginning of the year and paid a frontend load of %. If the securities in which the fund invested increased in value by 12% during the year, and the fund39。%.B.%.D.68.You purchased shares of a mutual fund at a price of $20 per share at the beginning of the year and paid a frontend load of %. If the securities in which the fund invested increased in value by 10% during the year, and the fund39。%.B.%.D.None of the optionsShort Answer Questions1.Which one of the following statements regarding openend mutual funds is false?A.The funds offer investors professional management.C.The funds offer investors professional management and a guaranteed rate of return.E.AACSB: AnalyticBlooms: RememberDifficulty: IntermediateTopic: Mutual FundsThe funds always trade at a discount from NAV.B.The funds offer investors professional management.D.None of the optionsClosedend funds are sold at the prevailing market price.3.Which of the following functions do investment panies perform for their investors?A.Diversification and divisibilityC.Lower transaction costsE.AACSB: AnalyticBlooms: RememberDifficulty: BasicTopic: Investment Organizationss net asset value?A.$C.$E.AACSB: AnalyticBlooms: ApplyDifficulty: IntermediateTopic: Mutual Fundss net asset value?A.$C.$E.AACSB: AnalyticBlooms: ApplyDifficulty: IntermediateTopic: Mutual Fundss NAV was $, how many shares must have been held in the fund?A.6,488,372C.1,182,203($279,000,000 43,000,000)/$ = 5,601,.7.Pinnacle Fund had yearend assets of $825,000,000 and liabilities of $25,000,000. If Pinnacle39。21,619,B.24,860,D.AACSB: AnalyticBlooms: ApplyDifficulty: IntermediateTopic: Mutual Fundsbeat the market return in all years.B.exceed the return on index funds.D.AACSB: AnalyticBlooms: RememberDifficulty: BasicTopic: Investment Organizationsclosedend funds.B.unit investment trusts.D.redeemable trust certificates.Unit investment trusts are funds that invest in a portfolio, often fixedine securities, and hold it to maturity.10.Investors in closedend funds who wish to liquidate their positions mustA.sell their shares to the issuer at a discount to net asset value.C.sell their shares to the issuer for net asset value.E.AACSB: AnalyticBlooms: UnderstandDifficulty: IntermediateTopic: Investment Organizationsdiscount, discountB.premium, premiumD.No consistent relationship has been observed.Closedend funds are typically issued at a premium to net asset value and subsequently trade at a discount.12.At issue, offering prices of openend funds will often beA.greater than NAV due to loads and missions.C.greater than NAV due to excess demand.E.AACSB: AnalyticBlooms: UnderstandDifficulty: ChallengeTopic: Investment OrganizationsREITs invest in real estate or loans secured by real estate.B.REITs are similar to openend funds, with shares redeemable at NAV.D.All of the options are true.Real estate investment trusts invest in real estate or realestatesecured loans. They may raise capital from banks and by issuing mortgages. They are similar to closedend funds, and shares are typically exchange traded.14.Which of the following statements about real estate investment trusts is true?A.REITs are usually highly leveraged.C.REITs may be equity trusts or mortgage trusts and are usually highly leveraged.E.AACSB: AnalyticBlooms: UnderstandDifficulty: IntermediateTopic: Investment OrganizationsThey invest in mercial paper, CDs, and repurchase agreements.B.They are highly leveraged and risky.D.