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






2. Why would an individual try to use generation skipping in estate planning?






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






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






5. What are the main characteristics of the accumulation phase of life?






6. What are the two sources of wealth?






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






8. What are the diffferent types of estate ownership rights?






9. Describe biased expectations in a behavioral finance context.






10. What is the general relationship between tax drag% and tax rate with accrual taxes; and as investment horizon increases and return increases?






11. What are the main types of investors?






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






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






14. What is typically considered when imposing an exit tax?






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






16. Any amount above core capital is considered what?






17. What is the most common estate planning tool?






18. What risks must be considered when discussing each concentrated investor category?






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






20. characteristics of cautious investor






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






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






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






24. What is core capital?






25. situational profiling - considerations






26. psychological profiling






27. Describe a spontaneous investor personality type.






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






29. Describe a cautious investor personality type.






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






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






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






33. characteristics of foundation stage






34. Describe asset segregation in a behavioral finance context.






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






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






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






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






39. characteristics of maintenance phase






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






41. 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?






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






43. Describe a methodical investor personality type.






44. What are the diffferent types of tax jurisdictions?






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






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






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






48. What is HIFO accounting?






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






50. stages of life