IFIC Exam (Chapter 15 And Chapter 16
Key Terms) Questions and All Detailed
Answers.
1. Money market
2. Mortgage
3. Bond
4. Balanced
5. Dividend Funds
6. Equity Funds
7. Real Estate Funds
8. Specialty Funds
$-家－007-中－喜－平－地－特 - Answer Rank all of the different types of MUTUAL FUNDS
from lowest to highest risk (8)
riskier than bond funds,
less risky than equity mutual - Answer The returns on preferred dividend funds are ______
than bond funds but _______ than equity mutual funds
unique risk - Answer If a security's price is affected by new information, this source of volatility
is known as ____
market risk - Answer The unique risk is removed in diversification, but u cannot eliminate
_____ . All mutual funds except money market have some amount of market risk.
Exchange rate risk - Answer Type of Risk :
Source: Changes in value of currencies
Reduce risk: Hedging
Default Risk - Answer Type of Risk :
Source: A bond will not be paid
Reduce risk: Avoid corporate bonds
1. Research performance Data
, 2. Focus on INVESTMENT OBJECTIVE
3. Long-TERM PERFORMANCE
4. Year-to-Year performance
5.. Lower Volatility
6. Investment Manager
7. Comare FF and Prospectus
8. Lower FEES
9. Size of Fund
10. Make a decision - Answer What are the steps in selecting MF?
1. Canadian Investment Funds Standards Committee
2. 5000 funds
CIFSC 5-broad classes
1. Cash
2. Fixed-Income
3. Equity
4. Commodity
5. Other - Answer The ____________, the body that oversees MF classification, lists 45
categories containing over ______ funds. They track on a security by security basis. For
purposes of category assignment, security types are grouped into five broad classes:
1. People
2. Philosophy
3. Process
4. Performance
人 － 孔 － TOYOTA－演 - Answer Qualitative elements; after risk assessment & asset
allocation, consider 4 elements of mutual funds before selecting suitable candidates:
portfolio manager - Answer Ideally a fund should be headed by a _____ with several years of
experience and backed by a team of analysts, client service staff, back office.
portfolio manager and investment team - Answer The evaluation of the ______ & the _____
may be the most important part of the MF assessment process
NOTES - Answer In finance, assets under management (AUM), sometimes called funds under
management (FUM), measures the total market value of all the financial assets which a financial
Key Terms) Questions and All Detailed
Answers.
1. Money market
2. Mortgage
3. Bond
4. Balanced
5. Dividend Funds
6. Equity Funds
7. Real Estate Funds
8. Specialty Funds
$-家－007-中－喜－平－地－特 - Answer Rank all of the different types of MUTUAL FUNDS
from lowest to highest risk (8)
riskier than bond funds,
less risky than equity mutual - Answer The returns on preferred dividend funds are ______
than bond funds but _______ than equity mutual funds
unique risk - Answer If a security's price is affected by new information, this source of volatility
is known as ____
market risk - Answer The unique risk is removed in diversification, but u cannot eliminate
_____ . All mutual funds except money market have some amount of market risk.
Exchange rate risk - Answer Type of Risk :
Source: Changes in value of currencies
Reduce risk: Hedging
Default Risk - Answer Type of Risk :
Source: A bond will not be paid
Reduce risk: Avoid corporate bonds
1. Research performance Data
, 2. Focus on INVESTMENT OBJECTIVE
3. Long-TERM PERFORMANCE
4. Year-to-Year performance
5.. Lower Volatility
6. Investment Manager
7. Comare FF and Prospectus
8. Lower FEES
9. Size of Fund
10. Make a decision - Answer What are the steps in selecting MF?
1. Canadian Investment Funds Standards Committee
2. 5000 funds
CIFSC 5-broad classes
1. Cash
2. Fixed-Income
3. Equity
4. Commodity
5. Other - Answer The ____________, the body that oversees MF classification, lists 45
categories containing over ______ funds. They track on a security by security basis. For
purposes of category assignment, security types are grouped into five broad classes:
1. People
2. Philosophy
3. Process
4. Performance
人 － 孔 － TOYOTA－演 - Answer Qualitative elements; after risk assessment & asset
allocation, consider 4 elements of mutual funds before selecting suitable candidates:
portfolio manager - Answer Ideally a fund should be headed by a _____ with several years of
experience and backed by a team of analysts, client service staff, back office.
portfolio manager and investment team - Answer The evaluation of the ______ & the _____
may be the most important part of the MF assessment process
NOTES - Answer In finance, assets under management (AUM), sometimes called funds under
management (FUM), measures the total market value of all the financial assets which a financial
