fpwm post class lc 1 to 37

7/26/2019 Fpwm Post Class Lc 1 to 37

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Learning ConfrmationYou have completed your quiz attempt. You have scored 0 point(s).

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1. Financial planning is a process by which one reaches financial goals with

existing resources only.

TRUE

FALSE

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2. Financial planning has to take into account all cash flows at any given

point of time.

TRUE

FALSE

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3. Financial planning needs to be started only when there is a financial

crisis.

TRUE


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FALSE

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4. Investment planning is a part of financial planning.

TRUE

FALSE

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5. Financial planning is only for the rich.

TRUE

FALSE


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1. Contingency planning refers to taking care of events like loss of job or

medical emergencies.


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TRUE

FALSE

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2. Wealth cycle approach to FP is a goal oriented plan.

TRUE

FALSE

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3. Investment planning does not take in to account the Investment horizon

and risk appetite of the individual.

TRUE

FALSE

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4. Retirement planning is a part of financial planning.


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TRUE

FALSE

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5. Insurance planning deals with how to claim money when there are

accidents.

TRUE

FALSE

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6. Helping a client reduce his tax liability by taking benefits of all

deductions and exemptions under various sections of IT Act is at the

basis of tax planning.

TRUE

FALSE


Question Results


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1. Income is what one earns during or for a period.

TRUE

FALSE

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(skipped)2. Assets are what one owes to others.

TRUE

FALSE

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3. If liabilities are more than assets, the individual will have a positive net

worth.

TRUE

FALSE

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4. Spending on provisions or groceries is an example of non-discretionary

expenses.


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TRUE

FALSE

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5. Increase in liabilities with assets remaining the same will increase the

net worth.

TRUE

FALSE

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6. One way to increase the net worth is to increase sources of income.

TRUE

FALSE


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1. Based on the scores obtained in the questionnaire form on risk profiling,

investors are classified as:

Good and bad investors

Investing customers

Two high and low risk investors

Five risk categories

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2. Which of the following is not an asset allocation model?

Income acceleration

Caital !reservation

Growth

Income generation

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3. In Tactical asset allocation type:

Rebalancing o" ercentage o" assets are done on an active basis

The st#le is assive


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The belie" is that one cannot time the markets

Finding which asset class is the best

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4. Income generation model is for:

$oungsters

!eole with good incomes

Those who deend on the ort"olio to generate income to take care o" their e

Those who want the ort"olio to grow

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5. Investing in equity, bank deposits, gold and apartment is example of:

Investment diversit#

Cultural diversi"ication

&ori'ontal diversi"ication

(ertical diversi"ication


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1. Savings and investment mean the same. (True/False)


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TRUE

FALSE

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2. The factors to consider while investing are return, safety and liquidity.

(True/False)

TRUE

FALSE

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3. Beta measures total risk. (True/False)

TRUE

FALSE

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4. Investment in real estate suffers from liquidity risk. (True/False)


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TRUE

FALSE

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5. Investment in G-Secs suffers from default risk. (True/False)

TRUE

FALSE

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6. Investing in an international asset or across globally is exposed to

exchange rate risk. (True/False)

TRUE

FALSE


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1. The concept that money is valuable today than tomorrow is known as time

value of money.

TRUE

FALSE

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2. Real rate and nominal rate of return are one and the same thing.

TRUE

FALSE

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3. Real rate of return does not take in to account inflation and tax rate.

TRUE

FALSE

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4. Sharpe ratio uses Standard deviation as a risk measure.


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TRUE

FALSE

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5. Calculation of future value is not important in Financial Planning.

TRUE

FALSE

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6. Coupon rate and nominal rate are one and the same thing.

TRUE

FALSE


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1. Interest rates and bond prices are inversely related.


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TRUE

FALSE

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2. Senior citizens savings scheme can be opened by anyone.

TRUE

FALSE

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3. Zero coupon bonds pay interest on the face value.

TRUE

FALSE

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4. Money lying in a PPF account cannot be attached by a court decree.


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TRUE

FALSE

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5. NSCs can be purchased by companies.

TRUE

FALSE

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6. The maximum amount that can be invested in a post office MIS singly

is INR 4.5 lakhs.

TRUE

FALSE


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1. Face value multiplied by no of units will be the unit capital.

TRUE

FALSE

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2. Index funds are examples of active funds.

TRUE

FALSE

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3. The unit capital remains the same in case of open-ended funds.

TRUE

FALSE

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4. Depositories are one of the other constituents that work with the AMC.


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TRUE

FALSE

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5. Bank sponsored AMCs are regulated only by RBI.

TRUE

FALSE

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6. A sponsor must own at least 40 percent of the AMC.

TRUE

FALSE


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1. The returns in debt funds comprise of interest income and capital

appreciation.

TRUE

FALSE

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2. Liquids funds invest in securities with a residual maturity of 120 days.

TRUE

FALSE

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3. Gilt funds invest in corporate bonds.

TRUE

FALSE

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4. NAV, in case of investments above INR two lakhs, is the NAV of the

business day on which funds are available before the cut-off time.


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TRUE

FALSE

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5. Blue in a MF scheme indicates high risk.

TRUE

FALSE

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6. Floating rate funds primarily invest in floating rate debt securities,

where the interest paid changes in line with the changing interest rate

scenario in the debt markets.

TRUE

FALSE


Question Results


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1. IPV must be completed because mere submission of ID proof and address

proof is not sufficient.

TRUE

FALSE

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2. In a passive fund, the role of a fund manager is very important.

TRUE

FALSE

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3. KYC is an acronym for Know Your Country.

TRUE

FALSE

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4. A benchmark is used to measure the performance of the scheme.


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TRUE

FALSE

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5. Axis Liquid Fund invests in securities with long maturity.

TRUE

FALSE

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6. Axis Triple Advantage fund invests in gold, equity and debt.

TRUE

FALSE


Question Results

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1. Technical analysts are also called chartists.


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TRUE

FALSE

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2. Arbitrage funds take advantage of price differences in two exchanges.

TRUE

FALSE

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3. Index funds are actively managed.

TRUE

FALSE

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4. An equity fund must invest at least 65 percent of its corpus in equity at

all points in time.


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TRUE

FALSE

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5. The track record of promoter is not important while buying a stock.

TRUE

FALSE

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6. Price earnings ratio tells how many times the EPS the investors are

willing to pay to buy a stock.

TRUE

FALSE


Question Results

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1. The biggest threat to popularizing investing in Gold ETFs is that investors

need to have a demat account to invest in Gold ETFs.

TRUE

FALSE

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2. Wealth tax is levied on Gold ETFs.

TRUE

FALSE

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3. There is a minimum quantity to be bought in Gold ETFs.

TRUE

FALSE

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4. Gold is used as a hedge against inflation.


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TRUE

FALSE

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5. Gold is a perishable commodity.

TRUE

FALSE

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6. Investing in Gold jewelry is not as liquid as it is in case of Gold ETFs.

TRUE

FALSE


Question Results

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1. Wealth tax is paid on residential property.


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TRUE

FALSE

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2. Investments in real estate is liquid.

TRUE

FALSE

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3. Investment in time share in a holiday resort requires huge investments.

TRUE

FALSE

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4. Only two organizations, which are NHAI and REC, are authorized to

issue Capital Gain bonds.


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TRUE

FALSE

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5. Property taxes are higher on Residential properties as compared to

Commercial properties.

TRUE

FALSE

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6. The proceeds of capital gains are to be invested in CG Bonds within

six months of sale of the previous property.

TRUE

FALSE


Question Results


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1. Risk is limited and gains are unlimited in options. (True/False)

TRUE

FALSE

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(skipped)2. Future contracts are traded over the counter. (True/False)

TRUE

FALSE

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3. The value of a derivative is not derived from the value of the underlying

asset. (True/False)

TRUE

FALSE

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4. Forwards suffer from counter-party risk. (True/False)


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TRUE

FALSE

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5. An option has to be exercised only on the settlement/expiration date.

(True/False)

TRUE

FALSE

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6. In India, equity derivatives are settled on cash basis. (True/False)

TRUE

FALSE


Question Results

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1. Insurance is a risk transfer mechanism.

TRUE

FALSE

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2. Peril is what causes the hazard.

TRUE

FALSE

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3. Principle of Insurable interest ensures that one can insure the

neighbour's car.

TRUE

FALSE

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4. Principle of indemnity is not applicable to life insurance.


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TRUE

FALSE

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5. Through insurance one can eliminate risk completely from one's life.

TRUE

FALSE

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6. Subrogation is the right of the insurer having indemnified the insured

under a legal obligation to do so, to step in to the place of the insured

and get all the rights and remedies of the insured.

TRUE

FALSE

Session 22 - Learning Confrmation: ObjectiveYou have completed your quiz attempt. You have scored 0 point(s).

Question Results


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1. Maturity benefits are paid on the maturity of the policy to the policy holder.

TRUE

FALSE

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(skipped)2. Premium payment term and term of the policy are one and the same thing.

TRUE

FALSE

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3. Bonus is paid in nonparticipating plans.

TRUE

FALSE

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4. The premium on the riders is usually very low.


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TRUE

FALSE

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5. Surrender value is paid on maturity of a policy.

TRUE

FALSE

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6. Bonus can be paid either on a simple reversionary basis or a

compound reversionary basis.

TRUE

FALSE

Session 23 - Learning Confrmation: ObjectiveYou have completed your quiz attempt. You have scored 0 point(s).

Question Results

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1. Term plans are non-participating plans.

TRUE

FALSE

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2. In children's plans the proposer and the beneficiary are one and the same.

TRUE

FALSE

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3. The policy holder can draw the entire maturity proceeds on maturity in

pension plans.

TRUE

FALSE

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4. In a ULIP plan the policy holder has the option to switch between funds.


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TRUE

FALSE

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5. The maturity proceeds in a Life insurance plan are added to the

income of the policy holder and are taxable.

TRUE

FALSE

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6. In a child plan when the proposer dies the future premiums are

waived/funded by the company.

TRUE

FALSE


Question Results


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1. Home insurance covers both structure and contents.

TRUE

FALSE

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(skipped)2. Domiciliary treatments are not covered under Mediclaim.

TRUE

FALSE

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3. Copy of invoice is insisted in respect of contents as proof of value in

home insurance.

TRUE

FALSE

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4. Tax benefits under Section 80D are available on premium paid in

Mediclaim.


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TRUE

FALSE

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5. If there are no claims, the premium decreases in a Mediclaim at the

time of renewal.

TRUE

FALSE

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6. Organ transplant is one of the critical illnesses.

TRUE

FALSE


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1. Single Trip insurance policy stands valid only for a single trip and pre-

defined number of days.

TRUE

FALSE

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2. Any hospitalization on account of suicide is covered under overseas travel

insurance.

TRUE

FALSE

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3. Overseas travel insurance coverage starts from the day of departure till

the day of arrival in India.

TRUE

FALSE

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4. Engine coverage rider is one of the riders which a policy holder can take

in Motor Insurance.


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TRUE

FALSE

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5. No Claim Bonus is not taken in to account while fixing the renewal

premium.

TRUE

FALSE


Question Results

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1. Section 80E covers deduction in respect of interest on loan taken for higher

education .

TRUE

FALSE


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2. Deduction in respect of medical insurance premium is covered under

Section 80DD.

TRUE

FALSE

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3. Total Deduction under Sections 80C, 80CCC, and 80CCD cannot exceed

INR 1,50,000.

TRUE

FALSE

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4. Maximum deduction permissible is INR 1 lakh under Section 80C for

FY2014-15.

TRUE

FALSE

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5. Previous year is the financial year immediately preceding the

assessment year.

TRUE

FALSE

Learning confrmation

You have completed your quiz attempt. You have scored 0 point(s).

Question Results

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1. Up to INR 1 lakh can be claimed toward interest payable on home loan in

the financial year 2013-14 under Section 80EE .

TRUE

FALSE

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2. The exemption limit for senior citizens is INR 2.5 lakhs for FY2014-15.

TRUE

FALSE


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3. Deduction under Section 80G is available on donation in cash up to INR

10,000 only.

TRUE

FALSE

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4. Interest on savings account has income tax exemption without any

ceiling from 01.04.2013.

TRUE

FALSE

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5. The maximum investment eligible for the purpose of deduction under

RGESS is INR 50,000.

TRUE

FALSE



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Question Results

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1. Retirement planning tries to address the fear of living too long.

TRUE

FALSE

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2. IRDA is an autonomous body set up by the Government of India to

develop and regulate the pension market in India.

TRUE

FALSE

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3. Tier I account in NPS is a non-withdrawable account meant for savings

for retirement.

TRUE

FALSE

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4. Gratuity is paid when an employee completes three or more years of full

time service with the employer.

TRUE

FALSE

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5. In EPF scheme the employer also makes a matching contribution to

the fund.

TRUE

FALSE


Question Results

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1. Estate planning refers to administering, protecting (managing) and

transferring the assets or wealth to the next generation.

TRUE


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FALSE

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2. Wills have to be registered in a specific format on a stamped document.

TRUE

FALSE

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3. Estate Planning is meant only for the wealthy.

TRUE

FALSE

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4. A Will comes in to force after the death of the maker.

TRUE

FALSE

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5. A Planner should increase charges or fees for the services rendered

without proper advance notice to his clients.


45/45

TRUE

FALSE

fpwm post class lc 1 to 37

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