How does a mutual fund perform quarterly?

Mutual funds are required to provide performance and financial statements on a quarterly basis as part of their regulatory obligations. This transparency is important for investors, as it allows them to stay informed about the fund's performance, expenses, and overall financial health. By disclosing performance and financial statements quarterly, mutual funds help investors make informed decisions regarding their investments. This requirement also enhances accountability and trust in the mutual fund industry, ensuring that investors have the information they need to evaluate their investments and assess the fund manager's ability to meet investment objectives.

The other options do not reflect the regulatory requirements placed upon mutual funds. Some suggest infrequent or non-existent reporting, which does not align with the necessary disclosures that provide investors with the required insights into the fund's financial standing.