S & P 500 Index Analysis
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Questions and Answers

What is the author implying about the S & P 500 Index?

  • It is not as reliable as stocks with smaller market caps.
  • It has received strong endorsement from the academic community. (correct)
  • Its margins of superiority are not impressive
  • It is likely to continue to have an accelerating advantage

    • What is the author primarily discussing in this text?

  • The advantages of index funds (correct)
  • The benefits of investing in stocks with smaller market caps
  • The potential drawbacks of the S & P 500 Index
  • The endorsement of the financial media for index funds

    • What is the main point the author is trying to make?

  • The S & P 500 Index may not be as reliable as stocks with smaller market caps.
  • The S & P 500 Index is likely to remain dominant in the future
  • Index funds have received strong endorsement from the academic community. (correct)
  • The investing public has been hesitant to invest in index funds.

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