Which fund is composed of stocks expected to pay regular income or dividends?

• A. Growth Fund
• B. Income Fund
• C. Sector Fund
• D. Asset Allocation Fund

Answer: (B)

Generating regular cash flow from investments comes from dividend-paying stocks. An Income Fund is designed to deliver that steady income by holding stocks known for paying reliable or higher dividends, providing investors with a predictable stream of distributions rather than aiming mainly for rapid price growth. This focus contrasts with a Growth Fund, which seeks capital appreciation and often reinvests earnings rather than paying sizable current dividends. A Sector Fund concentrates on a single industry, not specifically on income generation, and an Asset Allocation Fund spreads across various asset classes to balance risk and return without targeting dividend income from equities in particular. So, for the goal of regular income from stocks, the Influence is the best fit.