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 obvious, but you will see it re-enforces your understanding as you take the test each time.
1. What are typical characteristics of passive recipients of wealth?






2. What are the main characteristics of fixed annuities?


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






4. Any amount above core capital is considered what?






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






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






7. An investor's willingness to take risk is determined by what?


8. characteristics of accumulation phase






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






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






11. What are the main characteristics of variable annuities?


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


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






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






15. What is core capital?






16. benefits of IPS to manager






17. What is the most common estate planning tool?






18. What is loss aversion?






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






20. What are typical characteristics of active wealth creators?






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






22. What is tax alpha?






23. stages of life






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






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






26. situational profiling


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






28. Describe a cautious investor personality type.






29. What are wealth taxes.






30. What are investment objectives and constraints?






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






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






33. What is HIFO accounting?






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






35. 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?






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






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






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






39. What are the main characteristics of the maintenance phase of life?






40. benefits of IPS to client






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


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






43. characteristics of accumulation phase






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






45. Define tax drag.






46. Any amount above core capital is considered what?






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






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






49. What is loss aversion?






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