CISI ICWIM - International Certificate in Wealth and Investment Management Exam
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Total 178 questions
Question #1 (Topic: Exam A)
The Arbitrage Pricing Theory (APT) assumes investors can sell short. This involves:
A. not selling the whole of your shareholding in one trade
B. selling something you do not own, intending to buy it back at a lower price later
C. selling your shares and buying them back a short time later
D. selling lots of securities over a short time frame
Answer: B
Question #2 (Topic: Exam A)
If a company's Economic Value Added is negative, this means that:
A. the rate of growth in the company's value is slowing down
B. the company's value is being destroyed
C. the rate of growth in the company's value is below that of the sector average
D. the company's value is nil
Answer: B
Question #3 (Topic: Exam A)
Which of the following would cause a coffee producer's supply curve to shift to the right?
A. Improved harvesting methods
B. Reduced crop yield
C. Consumers switching to other drinks
D. Reduction in competition
Answer: A
Question #4 (Topic: Exam A)
Which term is used to describe a dividend payment made by a company with insufficient earnings to do so?
A. An ex-dividend payment
B. A proxy dividend payment
C. A scrip dividend payment
D. An uncovered dividend payment
Answer: D
Question #5 (Topic: Exam A)
The return on a whole-of-life unit-linked policy is:
A. directly related to the performance of the insurance company's fund
B. related to the consumer price index (CPI)
C. linked to the rate of inflation
D. dependent on prevailing interest rates
Answer: A
