Solution 1 Describe and Investment Policy Statement IPS
Solution Describe and Investment Policy
Solution Describe and Investment
Describe and Investment Policy Statement IPS
Solution Describe and
Investment Policy Statement IPS
Solution Describe
Solution
(Solution) 1 Describe and Investment Policy Statement (IPS):

Category: General
Words: 1050
Amount: $12
Writer:

Paper instructions

1 Describe and Investment Policy Statement (IPS): An IPS details the organization’s procedures for all client investments An IPS is created by the Board of Trustees An IPS is a FINRA required document An IPS addresses the objectives of the client or pension plan 2 Which of the following are deposit-taking institutions (DTIs)? Building societies Insurance companies Investment trust companies Retail banks Pension funds DTIs are the following: 2 - 4 1 and 4 1 and 2 3 – 5 3 All of the following make an IPS important, EXCEPT: Helps define all associated parties of their responsibilities Sets target asset allocations Will remove all emotions from the investment process Helps identify potential risks the pool of assets may face 4 Which of the following is the reason why economic sticklers would not consider shares / equities as financial instruments: Shares represent part-ownership in the company and are not redeemable Companies can re-purchase their shares Preferred shares are closer to debt instruments Companies can have debt and shares, they are substitutes for each other 5 Which of the following are functions of a financial system? The operation of a payment system Providing the means of portfolio adjustment Helping to reduce unemployment Channelizing funds between lenders and borrowers Helping speculators to bet on price movements Functions of a financial system include: 1, 2, and 4 2, 3, and 5 2  - 5 1 and 5 6 Which of the IPS’s factors would change if the client went to another financial professional? Investment strategies Amount invested by the client Responsibility for the risk management  Client objectives 7 Derivatives can be strictly defined as Financial instruments Securities with strong economic foundations Contracts that may lead to profits or losses Representatives of “claims” of holders on issuers 8 Which one of the following is the definition of an Investment Policy Statement (IPS)s: A Specific document to govern investing activities An agreement about services and prices An engagement letter for investing services Protects the client from investment losses 9 Constructing and IPS is the responsibility of Financial professional Investor Financial professional and investor Portfolio manager 10 How would you classify an Exchange Traded Fund (ETF)? Collective investment scheme (CISs) Alternative investments Contractual intermediaries Quasi-financial intermediaries (QFTs) 11 The most important component of an IPS is: Statement of purpose Investment objectives and constraints Appendices Signature of the investor 12 A well-defined IPS should include of the following, EXCEPT: Investment strategy and asset allocations Definition of duties and objectives Purpose and scope How much should be invested

Answer

Get Essay Answer
1,200,000+ Questions
Satisfaction guaranteed
(Solution) 2) 3) 4) The dissolution described in the case is Who begins the process of voluntary dissolution? How much of the shareholder's vote is required for...
(Solution) Calculate the molarity of a % 1.00E-3 by mass crystal violet solution assuming at this concentration the density of the solution is 1.00 g mL-1 and...
(Solution) Calculate the molarity of a % 1.00E-3 by mass crystal violet solution assuming at this concentration the density of the solution is 1.00 g mL-1 and...
(Solution) College Algebra - Spring 2016 Exam 2 - Ch. 3 & 4 5 points per problem (unless otherwise noted) Name___________________________________ 1)