Which of the following is true?

Mam owns shares of the ABC mutual fund. Mam's interest in ABC is an indirect financial interest.

Mem owns shares of the ABC mutual fund. ABC is a diversified fund and Mem owns only 1% of its shares. Mem's interest in the companies whose shares are held in ABC's portfolio is indirect.

Mim owns 7% of the shares of the ABC mutual fund. ABC is a diversified fund. Mim's interest in the companies whose shares are held in ABC's portfolio are not problematic.

Mum owns 4% of the ABC mutual fund. ABC is a nondiversified mutual fund. Mum's interest in the companies whose shares are held in ABC's portfolio would not be problematic.