Mutual funds can be:
- Purchased in any amount
- Can be focused on a single asset class
- Invested by sector
The correct option is: d) All the above.
Explanation:
1. Purchased in any amount: Mutual funds offer investors the flexibility to buy in varying amounts, making them accessible to a wide range of investors regardless of their financial capacity.
2. Can be focused on a single asset class: Some mutual funds are specialized and concentrate their investments in a specific asset class such as stocks, bonds, or real estate, allowing investors to tailor their investment strategies based on their preferences or goals.
3. Invested by sector: Mutual funds can also be structured to invest in specific sectors of the economy, such as technology, healthcare, or energy. This allows investors to target sectors they believe will perform well, providing diversification and targeted exposure in their investment portfolio.
Therefore, mutual funds offer investors the flexibility to invest in varying amounts, focus on specific asset classes, and target specific sectors, making option d) "All the above" the correct choice.
