Test your basic knowledge |

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. four types of investors






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






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






4. All costs associated with probate are born by whom?






5. What are the different retirment risks and how can they be hedged?






6. What are the different stages of life?






7. What are the benefits of an IPS to the adviser?






8. What is mortality risk?






9. As probability of death increases...






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






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






12. What are the disadvantages of hedging for low basis stock?






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






14. What are the advantages of private exchange funds for low basis stock?






15. Describe a cautious investor personality type.






16. Define tax drag.






17. What are wealth taxes.






18. What are the diversification techniques for low basis stock?






19. What is tax alpha?






20. What are the advantages of private exchange funds for low basis stock?






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






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






23. characteristics of cautious investor






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






25. Why do individuals often take steps to avoid probate?






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






27. Define tax drag.






28. As desire to leave an estate increases...






29. characteristics of accumulation phase






30. As desire to leave an estate increases...






31. What are the main characteristics of fixed annuities?






32. As wealth increases...






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






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






35. What is mortality risk?






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






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






38. benefits of IPS to manager






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






40. Investor questionnaires help to determine what?






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






42. sources of wealth






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






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






45. characteristics of maintenance phase






46. What is the difference between a deterministic approach and a monte carlo approach to portfolio construction?






47. What is loss aversion?






48. Describe a methodical investor personality type.






49. How is mortality risk typically hedged?






50. What are the diffferent types of tax jurisdictions?