Online Access Free CSC1 Practice Test

What is the action that the CentralBank takes to limitthe impact of increased foreign Interestrates on Interest rates in Canada?

• A.increase short-term interest rates to maintain the value of currency.
• B.Decrease interest rate to balance the risk of rising inflation.
• C.Reduce Interest rales to reduce demand for borrowing.
• D.Add a default premium to interest rates to protect lenders.

What is unique to responsible investment?

• A.A combination of a values and valuation-based approach to investing
• B.It bases investment decisions exclusively on environmental factors.
• C.ESG factors are standardized across the investment no industry.
• D.It is unavailable with certain asset classes like segregated fundi

What financial instrument is derived from thevalue of an underlying asset?

• A.Real estate investment trust
• B.Forward contract
• C.Preferred share.
• D.Inflation linked bond

Haw are retail stock and bond transactions settledon a daily basis amongdealers?

• A.The clearing corporation is responsible for setting an transactions according to each exchange's book of record.
• B.The clearing corporation is responsible for settling all transactions according to each dealer's book of record.
• C.The exchange is responsible for settling ad transactions according to each dealer's book of record.
• D.The exchange is responsible for settling all transactions according to each exchange's book of record.

An investor wants to gain exposure to the Canadian stock market with minimal risk exposure. What is the test financial instrument for this investor?

• A.Canadian bank preferred shares.
• B.Call option.
• C.Index-linked guaranteed investment certificate.
• D.Index exchange-trace fund.