单选题 Samantha Gold is a young investor. She has many affluent friends who have made a lot of money by investing in hedge funds. Drawn by the significant potential returns, Gold has also decided to invest in hedge funds. A friend has suggested investing in a fund of funds, but Gold is concerned with the risks associated with such investing. Also, she is a relatively small investor compared to what she calls "the big hedge fund players." Which of the following two statements, in combination, about fund of funds investing, when compared to investing in individual hedge funds is most accurate?

【正确答案】 C

【答案解析】Fund of funds enable investors with limited capital to invest in a portfolio of hedge funds. Usually, a portfolio of hedge funds will decrease the total variability of the returns of the funds comprising the portfolio. Because a fund of funds structure adds an additional layer of management fees, the actual returns may be lower than the returns that investors could achieve by selecting and investing in individual funds themselves.