Exam (elaborations)
AAMS Exam Questions and Answers- Updated Version
- Course
- Institution
AAMS Exam Questions and Answers- Updated Version AAMS Exam Questions and Answers- Updated Version AAMS Exam Questions and Answers- Updated Version
[Show more]
Content preview
AAMS ExamQuestions and
Answers- Updated
Version
All of the following are major steps in the asset management
process except
A) Making and implementing recommendations
B) Gathering Data
C) Establishing Goals
D) Establishing an asset allocation policy:
Answer: Establishing an asset allocation policy
Stefan's business plan includes the following goal: "I will contact
50 prospective clients and document this activity in the CRM for
tracking purposes."
Which primary element of a good goal is missing? This
goal is not
A) achievable.
B) relevant.
C) time-framed.
D) specific.:
, Answer: C) time-framed.
The acronym to remember for goal setting is S.M.A.R.T, which stands
for Specific, Measurable, Achievable, Relevant, and Time-Framed. The
flaw in this goal is that it is not time-framed
Which of the following statements regarding the fiduciary
standard is
CORRECT?
A) It is considered a higher standard than the suitability
standard.
B) It is applied equally and consistently for all financial
advisers.
C) It would never apply to an insurance agent.
D) The general approach is product-driven.:
Answer:A) It is considered a higher standard than the suitability
standard.
What is the primary function of central clearing counterparties
(CCPs) that have been set up as required by the Dodd-Frank Wall
Street Reform and Consumer Protection Act of 2010?
A) To regulate hedge fund transactions
B) To develop guidance for investment advisers regarding the
"know your customer" rules
C) To eliminate counterparty risk
D) To facilitate the netting of swap contracts:
,Answer:D) To facilitate the netting of swap contracts
What was the approximate dollar amount of U.S. retirement
assets held in IRA accounts at the end of 2019?
A) $5.1 trillion
B) $11.0 trillion
C) $500 billion
D) $32.3 trillion:
Answer:B) $11.0 trillion
Which of these statements regarding the level of trust in the
financial services industry is CORRECT?
A) The Edelman Trust Barometer consistently ranks financial
services as one of the most trusted sectors in our economy.
B) According to a Pershing study, the financial services
industry is more concerned about trust than investors.
C) Despite the overall stock market recovery since the market
meltdown in 2008, trust levels of financial services remain low.
D) Investor trust has never been an issue for the financial
services industry.-:
Answer:C) Despite the overall stock market recovery since the market
meltdown in 2008, trust levels of financial services remain low.
, In the administration of a qualified retirement plan, which of these
individuals is considered to be a fiduciary?
A) A highly compensated employee who participates in the plan
B) A CPA who prepares the plan's Form 5500-Annual
Return/Report of Em-ployee Benefit Plan
C) A financial adviser handling the investment of plan assets
D) The marketing director of the plan sponsor:
Answer:C) A financial adviser handling the investment of plan
assets
Which of these is the most important area of concern that was
addressed in the Dodd-Frank Wall Street Reform Act?
A) Hedge fund regulation
B) Systemic risk
C) Fiduciary standard
D) Derivatives trading:
Answer:B) Systemic risk
Roger Jones is considering recommending one of two mutual
funds for a client. Although both funds are generally appropriate
for the client, one is a proprietary fund that pays Roger a higher
commission and the other has a better risk/return profile. Roger
decides to recommend the latter fund to the client. With which of
these fiduciary duties has Roger complied?
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller igniteminds. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $13.99. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
67866 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now