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5) Which one of these correctly applies to mutual funds? A) You can generally buy additional shares in the fund at any time.
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Answer: Option A is correct.
In a mutual fund, one can generally buy additional shares in the fund at any time.

Mutual fund are less costly means to achieve portfolio diversification.
Mutual fund unit holders do not sell their units to other shareholders. Shareholders can sell stocks or exchange traded funds directly to other shareholders.

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