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| Section | Weight | Objectives |
|---|---|---|
| Pricing and Trading of Fixed-Income Securities | 11% | - Trading and settlement processes - Price-yield relationship - Valuation and pricing methods |
| Derivatives | 10% | - Options, futures and forwards - Uses, risks and basic strategies |
| Common and Preferred Shares | 13% | - Valuation and classification - Dividends and corporate actions - Equity features and rights |
| Equity Transactions | 10% | - Trading mechanics and regulations - Order types and execution - Margin and short selling |
| The Canadian Investment Marketplace | 16% | - Regulators and self-regulatory organizations - Market participants and roles - Structure of Canadian financial system |
| The Economy | 13% | - Monetary and fiscal policy - Impact of economic factors on investments - Macroeconomic principles and indicators |
| Regulation and Ethics | 8% | - Client suitability and disclosure - Code of conduct and ethical standards - Industry regulations and compliance |
| Financing and Listing Securities | 7% | - Primary market and issuance process - Listing requirements and rules |
| Features and Types of Fixed-Income Securities | 12% | - Government and corporate bonds - Characteristics, risks and benefits - Types of fixed-income instruments |
1. What is the mostcost-effectivechannel an investor can use to Invest in derivativeproducts?
A) A self-director broker
B) A full-service broker
C) An integrated firm
D) An investment boutique
2. A large number of well-trained, willing-to-work individuals have given up trying to find employment. All else being equal, how will the labor market indicators be affected by this event.
A) A decrease in the overall unemployment rate.
B) An increase in the participation rate.
C) An increase in the labour force.
D) A decrease in the structural unemployment rate.
3. What is the difference between sinking funds and purchase funds concerning the redemption of bonds poor to maturity?
A) Sinking funds can redeem bonds only if they trade below a stipulated price while purchase runes do not have such a requirement.
B) Sinking funds involve the issuer determining when bonds are redeemed while purchase funds Involve the investor determining when the bonds are redeemed.
C) Sinking funds can redeem fie bones any time while purchase funds follow a prearranged schedule.
D) Sinking funds have mandated redemptions while purchase funds can redeem only upon certain market conditions.
4. A politician promises to lower income taxes and increase government spending on social programs. but once selected her government's high debt level prevents her from doing so. Which challenge has this politician faced?
A) Unsynchronized fiscal and monetary policies.
B) Co-ordination of federal, Provincial, and municipal policies
C) Timing lags
D) Political business cycle
5. What actions can a government take to lower a $40billionnational deficit?
A) Increase government spending.
B) Decrease taxation
C) Increase interest rates.
D) Increase taxation
Solutions:
| Question # 1 Answer: A | Question # 2 Answer: A | Question # 3 Answer: D | Question # 4 Answer: C | Question # 5 Answer: D |
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