Series 6 - Investment Company And Variable Contracts Products Representative Exam

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Triple taxation of investment income may be avoided if the mutual fund qualifies under:

Rule D
A
The Investment Company Act of 1940
B
Subchapter M of the Internal Revenue Code
C
ERISA
D

Explanations

To avoid taxation under Subchapter M, a fund must distribute at least 90% of its net investment income to shareholders.