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Private Wealth Management

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This is a study tool. The 3 wrong answers for each question are randomly chosen from answers to other questions. So, you might find at times the answers to obvious but it re-enforces your understanding as you take the test each time.
1. How does the nature of human capital affect the demand for life insurance?

2. What are the different stages of life?

3. What are the different types of trusts?

4. characteristics of distribution phase

5. Describe biased expectations in a behavioral finance context.

6. stages of life

7. What is the difference b/t a required and desired return objective?

8. When calculating a required return - you typically must identify what?

9. What are the psychological issues of low basis stock held by an investor?

10. As wealth increases...

11. Any amount above core capital is considered what?

12. What is measure of wealth?

13. Why would someone want to use a valuation discount?

14. What is core capital?

15. characteristics of cautious investor

16. What is another name for a variable prepaid forward and What is its main purpose?

17. What are the steps involved in creating an IPS?

18. What are the advantages of the monte carlo approach to portfolio construction?

19. If human capital is equity-like/fixed-income like - how should you generally allocate financial assets?

20. What progressive tax regimes do not have favorable treatment for interest income/dividend income/capital gains?

21. When dealing with low basis stock - emotional issues can arise from what?

22. What is loss aversion?

23. What is the most common estate planning tool?

24. What are the diffferent types of tax jurisdictions?

25. What are the problems that financial advisers can face with low basis stock?

26. What are wealth taxes.

27. What is HIFO accounting?

28. What are the main characteristics of the distribution phase of life?

29. situational profiling

30. four types of investors

31. What are the benefits of an IPS to the client?

32. Describe asset segregation in a behavioral finance context.

33. characteristics of foundation stage

34. What are investment objectives and constraints?

35. What is human capital?

36. What are the advantages of public exchange funds for low basis stock?

37. Calculating the required return component is driven by what 2 elements?

38. What is measure of wealth?

39. What are the two sources of wealth?

40. What is tax alpha?

41. Equation for total wealth.

42. Investor questionnaires help to determine what?

43. Define capital gains taxes.

44. What is intestate?

45. What are typical characteristics of active wealth creators?

46. characteristics of individualist investor

47. Generally - how does portfolio size - liquidity - time horizon - and/or importance of spending affect ability to tolerate risk?

48. What are the disadvantages of private exchange funds for low basis stock?

49. What are the psychological issues of low basis stock held by an executive?

50. psychological profiling