INVESTMENT FUNDS IN CANADA LATEST 2026
STUDY GUIDE WITH SOLVED QUESTIONS AND
EXPERT SOLUTIONS
◉What happens when someone invests in a mutual fund? . Answer:
Investor becomes a unit holder and shares in the impact from gains,
losses, expenses etc.
◉Three Pillars of Registrant Expectations . Answer: 1. Suitability
2. KYC
3. KYP
◉Know your client entails: . Answer: 1. Personal circumstances
2. Financial circumstances
3. investment needs and objectives
4. investment knowledge
5. risk profile
6. time horizon
◉Types of responsibility . Answer: - legal
- ethical
,- professional
◉Legal responsibility . Answer:
◉Ethical responsibility . Answer: Investment done in the best interest of
the client, putting the clients needs before my own
◉Professional responsibility . Answer: I must provide the best client
service possible
◉Compliance . Answer: Following the rules, whether that me legal or
dealer
◉Ethical conduct . Answer:
◉Ethical responsibility . Answer:
◉Legal responsibility . Answer: Any investment for a client must be
suitable client based on KYC
◉Source of capital . Answer: Savings
◉Equity instruments . Answer: Buying shares in a company
,◉Auction market . Answer: Buyers and sellers bidding for shares
◉Bid price . Answer: The highest price a buyer is willing to pay
◉Ask price . Answer: The minimum a seller is willing to sell at
◉Dealer market . Answer: OTC, dealers match trades
◉Self Regulatory Organization . Answer: Private industry, regulates
own members
◉What is economics? . Answer: Understanding the production,
distribution and consumption of goods and services
◉The Decision Makers of the Economy . Answer: Consumers
Firms
Government
◉Market equilibrium . Answer: The meeting point of a price a buyer is
willing to buy at meets the price a seller is willing to sell at
, ◉GDP . Answer: Total amount of domestic final goods and services
produced
◉Three ways to measure GDP . Answer: Expenditure approach
income approach
production approach
◉Growth in GDP results from: . Answer: Increase in population
increase in capital stock
improvements in technology
◉Phases of the business cycle . Answer: Expansion
Peak
Contraction
Trough
Recovery
◉Economic Indicators . Answer: Lead
Lag
Coincidence
STUDY GUIDE WITH SOLVED QUESTIONS AND
EXPERT SOLUTIONS
◉What happens when someone invests in a mutual fund? . Answer:
Investor becomes a unit holder and shares in the impact from gains,
losses, expenses etc.
◉Three Pillars of Registrant Expectations . Answer: 1. Suitability
2. KYC
3. KYP
◉Know your client entails: . Answer: 1. Personal circumstances
2. Financial circumstances
3. investment needs and objectives
4. investment knowledge
5. risk profile
6. time horizon
◉Types of responsibility . Answer: - legal
- ethical
,- professional
◉Legal responsibility . Answer:
◉Ethical responsibility . Answer: Investment done in the best interest of
the client, putting the clients needs before my own
◉Professional responsibility . Answer: I must provide the best client
service possible
◉Compliance . Answer: Following the rules, whether that me legal or
dealer
◉Ethical conduct . Answer:
◉Ethical responsibility . Answer:
◉Legal responsibility . Answer: Any investment for a client must be
suitable client based on KYC
◉Source of capital . Answer: Savings
◉Equity instruments . Answer: Buying shares in a company
,◉Auction market . Answer: Buyers and sellers bidding for shares
◉Bid price . Answer: The highest price a buyer is willing to pay
◉Ask price . Answer: The minimum a seller is willing to sell at
◉Dealer market . Answer: OTC, dealers match trades
◉Self Regulatory Organization . Answer: Private industry, regulates
own members
◉What is economics? . Answer: Understanding the production,
distribution and consumption of goods and services
◉The Decision Makers of the Economy . Answer: Consumers
Firms
Government
◉Market equilibrium . Answer: The meeting point of a price a buyer is
willing to buy at meets the price a seller is willing to sell at
, ◉GDP . Answer: Total amount of domestic final goods and services
produced
◉Three ways to measure GDP . Answer: Expenditure approach
income approach
production approach
◉Growth in GDP results from: . Answer: Increase in population
increase in capital stock
improvements in technology
◉Phases of the business cycle . Answer: Expansion
Peak
Contraction
Trough
Recovery
◉Economic Indicators . Answer: Lead
Lag
Coincidence
