CWM_LEVEL_2 Exam Question 16

Section A (1 Mark)
The most common type of interest rate swap is
  • CWM_LEVEL_2 Exam Question 17

    Section C (4 Mark)
    Read the senario and answer to the question.
    Sajan wants to cover for the expenses of his family without compromising their present lifestyle till the expected life time of Jennifer in case of his untimely death. He consumes 8% of monthly expenses exclusively on self. You advise him that the child plan covers a different goal. Assuming the cover proceeds are invested in a Balanced MF scheme, he should supplement his cover by taking a term insurance for _________ immediately to cover such future expenses. (Please ignore taxes and charges, if applicable, in regular withdrawals from Balanced MF scheme to meet proposed monthly expenses).
  • CWM_LEVEL_2 Exam Question 18

    Section C (4 Mark)
    The following were P/E ratios for some Asian markets in February 1994, with relevant information on interest rates and economic growth:

    Assuming the dividend payout ratio in each of these countries is 60%, estimate the P/E ratio in South Korea and Thailand, based upon stable growth. (Use a risk premium of 7.5% over the risk-free rate in each country.)
  • CWM_LEVEL_2 Exam Question 19

    Section A (1 Mark)
    Passive Preserver follows a ___________ Investment Style
  • CWM_LEVEL_2 Exam Question 20

    Section A (1 Mark)
    Which one of the following statements is incorrect?