10 Questions
What form can the return of a mutual fund take?
Capital appreciation and distributions
In the example provided, what was the total value of distributions the investor received during the period?
Rs. 50
Which type of fund had the highest value in Sri Lanka's Unit Trust Industry data in October 2022?
Money Market Funds
What formula is used to calculate the return of a mutual fund?
[Ending NAV - beginning NAV] + distributions) / beginning NAV
What type of fund has the smallest value according to the Unit Trust Industry data in Sri Lanka in October 2022?
Indexed Funds
Which form of return occurs when the prices of shares in a mutual fund increase?
Capital appreciation
What could significantly reduce the returns of a mutual fund according to the text?
Fees and taxes
In the context provided, what do 'NAV' stand for?
Net Asset Value
Which type of funds had the second-highest value according to the Unit Trust Industry data in Sri Lanka in October 2022?
Bond Funds
What does a capital appreciation imply in the context of mutual funds?
An increase in the share prices of funds over time.
Learn about the four primary types of mutual funds: Equity (share) mutual funds, Bond mutual funds, Hybrid mutual funds, and Money market mutual funds. Understand the differences between each type of mutual fund and their investment strategies.
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