IFSE QUESTIONS AND ANSWERS RATED 100%
CORRECT
someone with whom you already have a business relationship answer - To whom are you
permitted to make an unsolicited telephone call to market new products ("cold-call") if they
have signed up on the National Do Not Call List (DNCL)?
It is a self-regulatory organization for the distribution side of the Canadian mutual funds
industry answer - Which of the following statements about Mutual Fund Dealers Association of
Canada (MFDA) is CORRECT?
OBSI helps resolve disputes between participating banking services and investment firms and
their clients answer - What is the role of the Ombudsman for Banking and Investments (OBSI)?
$10,000 answer - Jeff Thomson is a newly licensed dealing representative. He has received a
cash deposit of $12,000 and would like you to guide him as to whether he is required to report
the transaction to the Financial Transactions and Reports Analysis Centre of Canada (FINTRAC).
What is the minimum dollar amount of a cash deposit that Jeff is required to report to FINTRAC?
Jonathan, who recommends mutual funds to his clients based on which funds pay the highest
commission. answer - Which of the following dealing representatives is in a conflict of interest
situation?
Ethical conduct means conforming to approved standards. answer - Which of the following
statements regarding ethical conduct is true?
standard of conduct for ethical behaviour answer - The Mutual Fund Dealers Association of
Canada (MFDA) has several rules dealing with different aspects of the mutual fund business.
Conduct Rule 2 offers details on how both you and your employer are to carry out business.
Which of the following is covered in Rule 2?
, Protecting the confidentiality of client information. answer - Josephine is a newly registered
dealing representative. Which of the following actions constitute proper conduct expected of
her?
Objections to your registration may be due to unacceptable past employment history in the
securities industry. answer - Which statement about the registration process is TRUE?
All unethical actions are breaches of the standard of conduct. answer - Which of the following
statements is TRUE?
outside business activities answer - Under Mutual Fund Dealers Association of Canada (MFDA)
Rules you have the duty to disclose which of the following?
"The prospectus indicates that this is a speculative fund that is suitable for investors with a
growth objective and a high risk tolerance." answer - Sarah, a mutual fund dealing
representative, was reviewing the features and characteristics of an emerging markets mutual
fund that she was considering for a client. Based on her client's objectives and risk profile, Sarah
thought it would be a suitable investment. If Sarah makes the following statements, in which
instance would she be following best practices as a mutual funds dealing representative?
Disclosures should be provided in writing to the client on the account opening form or on a
separate form. answer - Today is Sheldon's first day as a dealing representative. He is in the
process of opening an account for his client. He is not sure of how to furnish the relationship
disclosures to his first client. How should Sheldon provide the relationship disclosures required
under the Client Relationship Model (CRM)?
capital preservation answer - Your clients , Ravi and Nuzah Patel, both 30 years of age, recently
married. Ravi earns an annual salary of $55,000 as an X-ray technician. Nuzah earns $72,000 per
year as a pharmacist. They are currently viewing houses in the $200,000-to-$225,000 price
range and hope to purchase a house within the next year. They plan to use their wedding gifts
CORRECT
someone with whom you already have a business relationship answer - To whom are you
permitted to make an unsolicited telephone call to market new products ("cold-call") if they
have signed up on the National Do Not Call List (DNCL)?
It is a self-regulatory organization for the distribution side of the Canadian mutual funds
industry answer - Which of the following statements about Mutual Fund Dealers Association of
Canada (MFDA) is CORRECT?
OBSI helps resolve disputes between participating banking services and investment firms and
their clients answer - What is the role of the Ombudsman for Banking and Investments (OBSI)?
$10,000 answer - Jeff Thomson is a newly licensed dealing representative. He has received a
cash deposit of $12,000 and would like you to guide him as to whether he is required to report
the transaction to the Financial Transactions and Reports Analysis Centre of Canada (FINTRAC).
What is the minimum dollar amount of a cash deposit that Jeff is required to report to FINTRAC?
Jonathan, who recommends mutual funds to his clients based on which funds pay the highest
commission. answer - Which of the following dealing representatives is in a conflict of interest
situation?
Ethical conduct means conforming to approved standards. answer - Which of the following
statements regarding ethical conduct is true?
standard of conduct for ethical behaviour answer - The Mutual Fund Dealers Association of
Canada (MFDA) has several rules dealing with different aspects of the mutual fund business.
Conduct Rule 2 offers details on how both you and your employer are to carry out business.
Which of the following is covered in Rule 2?
, Protecting the confidentiality of client information. answer - Josephine is a newly registered
dealing representative. Which of the following actions constitute proper conduct expected of
her?
Objections to your registration may be due to unacceptable past employment history in the
securities industry. answer - Which statement about the registration process is TRUE?
All unethical actions are breaches of the standard of conduct. answer - Which of the following
statements is TRUE?
outside business activities answer - Under Mutual Fund Dealers Association of Canada (MFDA)
Rules you have the duty to disclose which of the following?
"The prospectus indicates that this is a speculative fund that is suitable for investors with a
growth objective and a high risk tolerance." answer - Sarah, a mutual fund dealing
representative, was reviewing the features and characteristics of an emerging markets mutual
fund that she was considering for a client. Based on her client's objectives and risk profile, Sarah
thought it would be a suitable investment. If Sarah makes the following statements, in which
instance would she be following best practices as a mutual funds dealing representative?
Disclosures should be provided in writing to the client on the account opening form or on a
separate form. answer - Today is Sheldon's first day as a dealing representative. He is in the
process of opening an account for his client. He is not sure of how to furnish the relationship
disclosures to his first client. How should Sheldon provide the relationship disclosures required
under the Client Relationship Model (CRM)?
capital preservation answer - Your clients , Ravi and Nuzah Patel, both 30 years of age, recently
married. Ravi earns an annual salary of $55,000 as an X-ray technician. Nuzah earns $72,000 per
year as a pharmacist. They are currently viewing houses in the $200,000-to-$225,000 price
range and hope to purchase a house within the next year. They plan to use their wedding gifts
