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What is a commodity?

"A commodity is a type of mutual fund that invests in physical assets."

"A commodity is a good traded for another good of similar value."

"A commodity is a financial instrument used to hedge against inflation."

"A commodity is a type of investment strategy used by fund managers."

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Which of the following is a characteristic of Commodity Funds?

"They primarily invest in real estate."

"They offer guaranteed returns."

"They are managed by fund managers."

"They are only suitable for short-term investments."

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What is a key benefit of investing in Commodity Mutual Funds?

"They provide fixed returns."

"They offer portfolio diversification."

"They eliminate market risk."

"They are suitable for all investors."

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Which type of Commodity Fund is considered the riskiest?

"Basic/True Commodity Funds"

"Natural Resources Funds"

"Future Funds"

"Index Funds"

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What type of investor is best suited for Commodity Funds?

"Investors seeking fixed returns."

"Investors with a low risk tolerance."

"Investors with a long-term investment horizon and higher risk tolerance."

"Investors looking for short-term gains."