Summer Sale Special Limited Time 70% Discount Offer - Ends in 0d 00h 00m 00s - Coupon code: xmas50

CSI CSC2 - Canadian Securities Course Exam 2

CSI CSC2 Premium Access     Download Demo    
Page: 2 / 7
Total 232 questions

What is the bottom price of a security ' s trading range at which most investors would sense value and be willing to buy it?

A.

Reversal pattern.

B.

Sentiment indicator.

C.

Support level.

D.

Moving average.

What is a characteristic of provincial savings bonds?

A.

Backed by provincial assets

B.

Available only at a certain time

C.

Can be issued Internationally.

D.

Mature every six months

An advisor wants to explain the benefits of labour sponsored funds (LSVCC) to some of his clients. With which client should the advisor have this discussion?

A.

Client 1.

B.

Client 4.

C.

Client 2.

D.

Client 3.

TRU Fund portfolio manager decided to deviate from the portfolio long-term target asset mix in order to capitalize on investment opportunities in the domestic bond market. What type of asset allocation is the TRU Fund portfolio manager using?

A.

Strategic.

B.

Tactical.

C.

Timing.

D.

Dynamic.

Why would a corporation choose to issue preferred shares rather than debt?

A.

Existing assets have excess financing capacity to justify the issue of preferred shares.

B.

The preferred dividend rate usually varies with the market interest rates

C.

issuing preferred shares would reduce the amount of leverage.

D.

The costs for issuing preferred shares are usually kwh than debt.

What is one advantage of fund of hedge funds (FoHFs) as compared to single hedge funds?

A.

FoHFs offer more diversification for the same amount of investment.

B.

FoHFs employ more leverage to enhance the return potential.

C.

FoHFs entail lower costs and operating fees.

D.

FoHFs yield stronger returns than a single hedge fund.

In March of this year, a client buys 1,000 PIL inc, common shares at $16 per share and pays a commission of $25 on the purchase. Several months later in the same year, the client sell the shares at $12 per share and pays commission of $50 on the sale. What is the client’s allowable capital loss on the transaction?

A.

$2,038

B.

$2,025

C.

$1,925

D.

$2,013

If the government wants to stimulate the economy through fiscal policy, what action should it take?

A.

Increase spending and money supply

B.

Decrease taxes and interest rates

C.

Decrease interest rates and increase money supply

D.

Decrease taxes and increase spending

Jenny contributed $5,000 each year for five years to a spousal RRSP in Albert ' s name. In the calendar year immediately following Jenny ' s last contribution, Albert withdrew $25,000 from the RRSP. What are the tax implications of the withdrawal for Albert and Jenny?

A.

Albert includes $10,000 in his taxable income and Jenny includes $15,000 in her taxable income.

B.

No effect on Jenny ' s taxable income and Albert includes $25,000 in his taxable income.

C.

Jenny includes $25,000 in her taxable income and Albert includes $0 in his taxable income.

D.

Jenny includes $10,000 in her taxable income and Albert includes $15,000 in his taxable income.

Why are inverse exchange-traded funds effective in declining markets?

A.

They use physical commodities.

B.

They use borrowed capital.

C.

They use active management.

D.

They use derivatives.