Making Sense of Mutual Funds

What is a large pool of money that several people put together, and that is usually invested in stocks and bonds and managed by a financial expert?

• Mutual fund
• Stock
• Bond
• Bitcoin

Mutual funds are always conservative.

• True
• False

What is a a share of ownership in a company?

• Mutual fund
• Stock
• Bond
• Bitcoin

Select how an investor CANNOT make money from a stock

• Short selling
• Short covering
• Capital gain
• Dividend

What is a promise to pay interest in the future, in exchange for money right now?

• Stock
• Mutual fund
• Bitcoin
• Bond

As an investor, if you wanted to diversify your retirement portfolio, which financial product should you select?

• Stock
• Mutual fund
• Bond
• Bitcoin

Select the type of investment most suitable for preserving wealth.

• Aggressive Growth Mutual Fund (Primarily Stocks)
• Blended Mutual Fund
• Conservative Mutual Fund (Primarily AAA Rated Bonds)
• Individual Stocks

Bonus: Would you make money, lose money, or see no change in your investment value if:
- Inflation was 2.5%
- You paid 2.5% in fees
- The financial product increased in value by 5%

• Make money
• Lose money
• No change