1, 2, 3 AND 4 2026 COMPLETE ACTUAL
EXAM |EACH PAPER HAS 100 QUESTIONS
WITH DETAILED VERIFIED ANSWERS
(100% CORRECT) / BRAND NEW!! //
ALREADY GRADED A+
SAMPLE PAPER 1
Patricia has invested in a bond issued by a company, which provides a fixed
return. The bond is not listed on a stock exchange. Which of the following risks is
Patricia exposed to in respect of this investment?
(i)Liquidity.
(ii) Inflation.
(iii) Default
A (i) only.
B (i) and (iii) only.
C (ii) and (iii) only.
D (i), (ii) and (iii). - CORRECT ANSWER ✔✔- D
6.7- Risks of Investing in Bonds
Pg. 1
,On 18th October 2017 Kate invested in the 5% Treasury Bond 2020.The coupon is
payable annually. She purchased €200 nominal of the stock at a price of €206.50.
Assuming she does not sell the bond in the meantime, the TOTAL sum she will
receive, before tax, on the Bond's maturity date of 18th October 2020 will be:
A €200.00
B €206.50
C €220.00
D €216.00 - CORRECT ANSWER ✔✔- C
6.2 Treasury Bonds
If the 4.4% Treasury Bond 2024 is currently quoted at €114.00 on the Irish Stock
Exchange, what is the flat yield currently offered by this Bond?
A 2.50%
B 3.86%
C 4.40%
D 5.02% - CORRECT ANSWER ✔✔- B
6.4.1 - Running or Flat Yield
The price of a bond, excluding accrued interest, is referred to as the:
A clean price.
B dirty price.
C settlement price.
D mid market price. - CORRECT ANSWER ✔✔- A
Pg. 2
,9.6 Clean/dirty price
Conor, who is self-employed invests in a Treasury Bond. The income he receives
from this bond will be liable to:
(i) Income tax.
(ii) USC.
(iii) PRSI.
A (i) only.
B (i) and (iii) only.
C (ii) and (iii) only.
D (i), (ii) and (iii). - CORRECT ANSWER ✔✔- D
6.8.2- USC and PRSI
Alternative Investment Funds (AIFs) are:
A UCITS funds.
B Non-UCITS funds.
C life assurance unit-linked funds.
D not collective investment funds. - CORRECT ANSWER ✔✔- B
7.2.2 Features
Unit prices of a UCITS fund MUST be valued on which valuation basis?
Pg. 3
, A Cost plus mark up.
B Net asset value.
C Gross asset value.
D Smoothed average asset value. - CORRECT ANSWER ✔✔- B
7.2.2 Types - UCITS - Introduction
A UCITS fund must invest primarily in:
A bonds.
B equities.
C transferable securities.
D government bonds and deposits. - CORRECT ANSWER ✔✔- C
7.3 Advantages of investing in a Collective Investment fund
A UCITS Key Investor Information document shows which of the following
charges?
(i) Entry.
(ii) Ongoing.
(iii) Performance Fee.
A (ii) only.
B (iii) only.
C (i) and (ii) only.
Pg. 4