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Questions and Answers
What is the author implying about the S & P 500 Index?
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?
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?
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.
