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ICMA Certification
SOFQ Exam
ICMA.SOFQ.v2022-01-25.q16 Practice Test
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Question
1
Accrued interest is designed to:
A.
Compensate the seller of an interest-bearing bond for interest earned, (but not paid) since the previous coupon payment date
B.
Compensate the buyer of an interest-bearing bond for interest earned, (but not paid) relating to the next coupon payment date
C.
Compensate the seller of an interest-bearing bond for interest earner, (but not paid) relating to the next coupon payment date
D.
Compensate the buyer of an interest-bearing bond for interest earned, (but not paid) since the previous coupon payment date
Correct Answer:
A
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Question
2
FTM Levy is charged:
A.
On US equity trades where the gross consideration is USD 10,000.00 and below
B.
On UK equity trades where the gross consideration is in excess of GBP 10,000.00
C.
On UK equity trades where the gross consideration is GBP 10,000.00 and above
D.
On US equity trades -where the gross consideration is in excess of USD 10,000.00
Correct Answer:
B
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Question
3
The US regulator 'SEC stands for:
A.
Securities and Exchange Commission
B.
Securities Endeavour Company
C.
Securities Exchange Corporation
D.
Securities Enterprise Conglomerate
Correct Answer:
A
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Question
4
Bond types that are traded at a deeply discounted price are:
A.
Zero coupon bonds
B.
Fixed rate bonds
C.
Convertible bonds and Exchangeable bonds
D.
Floating rate notes
Correct Answer:
A
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Question
5
An example of an organisation classified as a sovereign wealth fund is:
A.
United Nations
B.
German Government
C.
China Investment Corporation
D.
Xerox Corporation
Correct Answer:
C
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