Select the best fund for Yang, using only the information provided. Justify your selection.

Yang is also considering Aspen Investments (Aspen) for a portion of her money market funds. Aspen’s investment philosophy states: “We pursue a passive investment strategy, which seeks to identify and exploit structural inefficiencies through identifying mispricings created by loss aversion. Our strategy and philosophy have evolved over time in response to fund and market performance.”

Cassandra Yang, age 59, is a manager at a large US manufacturing firm. Yang is single, owns a home, is debt free, and saves 20% of her pre-tax income in a company retirement plan and 15% of her after-tax income in a short-term money market account. Her accounts are selfdirected;
Yang makes all related decisions independently.
While Yang hates to suffer investment losses, she now seeks higher returns on 80% of the funds in her money market account. To help achieve her goal of retiring within three years, she is considering the actively managed investment funds listed in Exhibit 1.

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Select the best fund for Yang, using only the information provided. (Circle one) Alpha Beta Gamma Justify your selection.