SIE practice questionmediumRegistered Investment Company
Under the Investment Company Act of 1940, which of the following is a type of registered investment company?
- AVenture capital fund
- BOpen-end management company (mutual fund)✓ Correct answer
- CHedge fund
- DPrivate equity fund
Explanation
Why B — Open-end management company (mutual fund)
An open-end management company (mutual fund) is one of three types of registered investment companies under the Investment Company Act of 1940 (the others are closed-end funds and unit investment trusts). Hedge funds, private equity funds, and venture capital funds typically rely on exemptions from registration and are NOT registered investment companies. This is a key distinction for the SIE exam.
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