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The sentences below have words that are missing. Choose the best option from those given below to complete the sentence.

Question 22 : A collective investment fund (CIF), also known as a collective investment trust (CIT), is a group of ___________ accounts held by a bank or trust company. The financial institution ___________ assets from individuals and organizations to ___________ a single larger, diversified portfolio.

  1. diverse, discounts, conceive
  2. different, collected, simulate
  3. financial, covered, synthesise
  4. pooled, groups, develop

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Explanatory Answer

For the first blank, all options except 'different' (option B) fit. For the second blank, we can eliminate option C as 'collected' is in the past tense, while the given lines are in present tense. Option A, too, is not a good fit for blank 2. Option D is the best choice.

The answer is 'pooled, groups, develop'

Choice D is the correct answer.

 

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