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Private Wealth Management

Instructions:
  • Answer 50 questions in 15 minutes.
  • If you are not ready to take this test, you can study here.
  • Match each statement with the correct term.
  • Don't refresh. All questions and answers are randomly picked and ordered every time you load a test.

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. What are the disadvantages of an outright sale of low basis stock?






2. What happens to both tax drag $ and tax drag % with holding period changes and return changes?






3. What are the advantages of completion portfolios for low basis stock?






4. How does the nature of human capital affect the demand for life insurance?






5. An investor's ability to take risk depends on what?






6. Human capital is sometimes referred to as what?






7. What is HIFO accounting?






8. psychological profiling






9. characteristics of individualist investor






10. In contrast to standard finance (MPT) - behavioral finance assumes individuals do what?






11. characteristics of spontaneous investor






12. What is an equity collar? What is the purpose of the underlying positions






13. characteristics of maintenance phase






14. What are wealth taxes.






15. Describe the equity holding life three stages from the perspective of the stock.






16. What are the advantages of hedging for low basis stock?






17. What are the equity holding life risk attributes for an executive?






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






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






20. What is the general relationship between tax drag% and tax rate when capital gains taxes are deferred and B=1; and as investment horizon increases and return increases?






21. What is the person called that transfers assets through a will?






22. four types of investors






23. What is the eifference in willingness to take risk between active and passive wealth creators?






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






25. When should you use a tax-exempt versus a tax-deferred account?






26. Who is responsible for gains/losses in a taxable (accrual taxation) account?






27. As wealth increases...






28. As probability of death increases...






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






30. What are the equity holding life risk attributes for an entrepreneur?






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






32. characteristics of methodical investor






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






34. What are the four broad categories of investor personality types (BB&K)?






35. What is the general relationship b/t a client's perception of wealth and risk willingness?






36. The client's risk tolerance (mostly willingness) is affected by what personal characteristics?






37. As age increases..






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






39. What are the main characteristics of fixed annuities?






40. What is the eifference in willingness to take risk between active and passive wealth creators?






41. stages of life






42. What are the psychological issues of low basis stock held by an entrepreneur?






43. What are the equity holding life risk attributes for an investor?






44. What are the different global tax regimes and their respective ordinary income tax structure?






45. Living expenses in retirment can be referred to as what?






46. What are the disadvantages of an outright sale of low basis stock?






47. What are the 3 categories of investors when discussing concentrated positions?






48. What are the main characteristics of chritable gifts?






49. What are the disadvantages of public exchange funds for low basis stock?






50. Define capital gains taxes.