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Please respond to the following: 1. What is a mutual fund? What is an ETF? How are they different? 2. What are some arguments for

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Please respond to the following: 1. What is a mutual fund? What is an ETF? How are they different? 2. What are some arguments for why a mutual fund is better than an ETF? What are some of the arguments for why an ETF is better than a mutual fund? 3. Do professional money managers add value by picking the "right" (profitable) investments? 4. In shopping for stock mutual funds, what are the key, listed risk characteristics? 5. In shopping for bond mutual funds, what are some the key risk characteristics that separate one bond fund from another? 6. How do mutual fund managers get paid? 7. Suppose that we want to have a yearly income of $50,000 in retirement. We expect to live 25 years in retirement and our inflation-adjusted rate of retum on our safe investment is 3%. How much money do we need to have saved in order to have this consistent income? What are some issues that we could have that would cause our estimates to deviate in a way that is harmful for us? 8. Mr. Rodriguez has been saving 12% of his salary of $45,000 for retirement over the past 15 years. Initially, he planned to invest all of his money in medium-risk stock mutual funds which have an annual, inflation-adjusted, retum of 10%. First, how much money has he saved up so far (use monthly compounding and Mr. Rodriguez wants to have $1.5 million saved up the day he retires. If he has mivane inft until reftirement is he on track? Show your work below. Suppose Mr. Rodriguez wants to take a little less risk, so he is now spliiing hils money between a bond mutual fund and a stock mutual fund. This change will lower his retum to an average of 7%. How much will he have in retirement at this Clearly, Mr. Rodriguez needs to save more money to reach his retirement goal. How much more as a percentage of his salary does he need to save? \begin{tabular}{|l|l|l|l|l|} \hline N & PV & PV & & \\ \hline & YVT & & \\ \hline \end{tabular} What percentage of his salary is this monthly payment, ignoring taxes

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