Which of the following is incorrect?
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A value fund tries to seek out fundamentally sound companies whose shares are currently overpriced in the market
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A balanced fund holds assets more or less in equal proportions between debt /money market securities and equities
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A growth fund would invest in the equity shares of companies whose earnings are expected to rise at an above average rate
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A fund that invests only in ASEAN countries is an example of a specialty fund
Value funds seek fundamentally sound companies whose shares are UNDERPRICED in the market, not overpriced. They look for stocks trading below their intrinsic value. Option A is the incorrect statement, making it the correct answer to 'which is INCORRECT?'. The other options correctly describe balanced funds (equal debt-equity mix), growth funds (investing in high-growth companies), and specialty funds (regional/thematic focus).