You are analysing two similar funds, A and B, which have similar returns. However, you notice Fund B has a much higher standard deviation than Fund A. This implies that:

• A.Fund A has taken much higher risks
• B.Fund B is significantly more profitable than Fund A
• C.Fund B has taken much higher risks
• D.Fund A is much cheaper than Fund B

Comment: *

Name: *

Email: *

Verification: *

How does 'relief at source' normally operate in relation to overseas dividend income?

• A.A reduced rate of withholding tax is levied
• B.A tax rebate is paid in cash
• C.A credit is applied against a separate tax liability
• D.A staggering of the tax levy is granted

Comment: *

Name: *

Email: *

Verification: *

What causes the price of a closed-ended investment company to trade at a premium or discount to net asset value (NAV)?

• A.The level of charges within the fund
• B.The tax status of the fund
• C.Supply and demand
• D.Current level of interest rates

Comment: *

Name: *

Email: *

Verification: *

What is the first action an adviser takes to ensure that their advice is suitable for a client?

• A.Offer the client a range of options
• B.Draw attention to the cancellation period
• C.Gather sufficient information from the client
• D.Ensure recommendations are confirmed by a third party

Comment: *

Name: *

Email: *

Verification: *

For what reason is holding bearer shares potentially disadvantageous?

• A.Investors prefer not being publicly named on a share register
• B.The loss of the certificate might equal loss of the person's investment
• C.They are more difficult to value
• D.Because it is not possible to sell part of the holding

Comment: *

Name: *

Email: *

Verification: *