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Which of the following statements regarding differences between Exchange Traded Funds (ETFs) and Open End Mutual Funds is mos

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Answer #1

All the answers are wrong except last one. Mutual fund (both open ended and close ended) can have derivative exposure for hedging and risk reduction. And typically ETF do not have derivatives but there are some exceptions like Leverage ETF and Inverse ETF. So answer is last one, rest all are correct and perfectly stated.

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