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Basic Question 2 of 2
If the gross returns are the same for a small fund and a large fund, which one should have a higher net return, all other factors being equal?
B. The large fund
C. The net return should be the same.
A. The small fund
B. The large fund
C. The net return should be the same.
User Contributed Comments 3
| User | Comment |
|---|---|
| johntan1979 | And most large funds offer discounts for longer holds. |
| leuping | Johntan1979 is an absolute legend. |
| houstcarr | well if it can spread its fixed costs over a larger base... then not all other factors are equal. |
I am using your study notes and I know of at least 5 other friends of mine who used it and passed the exam last Dec. Keep up your great work!
Barnes
Learning Outcome Statements
calculate and interpret major return measures and describe their appropriate uses
CFA® 2024 Level I Curriculum, Volume 1, Module 1.