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CWM_LEVEL_2 Exam Dumps - AAFM Chartered Wealth Manager Questions and Answers

Question # 49

Section A (1 Mark)

Short-term to medium-term loans repayable in two or more consecutive payments are known as:

Options:

A.

Non installment loans

B.

Installment loans

C.

Residential mortgage loans

D.

Nonresidential cash loans

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Question # 50

Section A (1 Mark)

A review of portfolio should be done when

Options:

A.

One witnesses a change in micro level factors

B.

One witnesses a change in macro level factors

C.

One witnesses new products floating in the market

D.

All of the above

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Question # 51

Section A (1 Mark)

A 15 year annuity due has a future value of Rs. 15,00,000/- If ROI is 9 % per annum, then how much will be each annuity amount ?

Options:

A.

35487.98

B.

56487.32

C.

46870.02

D.

47897.12

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Question # 52

Section A (1 Mark)

______________represents the corollary effect—the irrational denial of responsibility for failure.

Options:

A.

Self Enhancing Bias

B.

Self Attribution Bias

C.

Self Protecting Bias

D.

None of the Above

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Question # 53

Section C (4 Mark)

Consider the following information for three mutual funds

Risk free return is 6%. Calculate Treynor measure.

Options:

A.

3.45, 7.78, 4.38

B.

7.27, 6.67, 9.17

C.

2.59, 8.68, 6.63

D.

5.65, 8.88, 9.36

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Question # 54

Section A (1 Mark)

Which of the following is a risk of using credit derivatives?

Options:

A.

Credit derivatives do not protect against credit risk exposure

B.

The partner in the swap or option contract may fail to perform

C.

Regulators may decide to lower the amount of capital needed for banks using these derivatives

D.

Regulators may decide that these derivatives make the bank more stable and efficient

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Question # 55

Section A (1 Mark)

Customer service facilitation includes EXCEPT:

Options:

A.

Divert attention of customer

B.

Resolve problem

C.

Improve efficiency

D.

Provide full information

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Question # 56

Section B (2 Mark)

Ajay is considering to purchase a house which will bring rental income of Rs. 15,000/- p.m at the end of month. Ajay is looking for 12% returns and he is expecting to sell the property after 5 years for Rs. 6 lac. What price Ajay should pay for this property now?

Options:

A.

Rs. 468000

B.

Rs. 395000

C.

Rs. 400000

D.

Rs. 495000

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Question # 57

Section A (1 Mark)

The minimum income criteria for Personal Loans in case of Salaried employees is:

Options:

A.

Rs 7000 per month

B.

Rs 7500 per month

C.

Rs 8000 per month

D.

Rs 10000 per month

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Question # 58

Section B (2 Mark)

Mr. Aggarwal is working in a reputed company and earning Rs. 4,50,000/- p.a. and is now 55 years old. He has invested Rs. 2,00,000/- in an annuity which will pay him after 5 years a certain amount p.a. at the beginning of every year for 10 years. Rate of interest is 8% p.a. Calculate how much he will receive at the beginning of every year after 5 years?

Options:

A.

39747

B.

283866

C.

40551

D.

293866

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Question # 59

Section A (1 Mark)

Which of the following comes at the high end of product margin in the value added pyramid of wealth management?

Options:

A.

Cash management

B.

Concierge

C.

Bespoke structured products

D.

Fund of funds selection

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Question # 60

Section A (1 Mark)

Surender is a driver who causes injuries to a pedestrian by his rash driving. The injured victim had to spend Rs.1000 in treating his injuries. Surender ‘s act has created liabilities under:

Options:

A.

Common law

B.

Contract

C.

Statue and Common law

D.

Statute only

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Question # 61

Section A (1 Mark)

The factors contributing to a Credit Score are :

Options:

A.

I, III and IV

B.

II and IV

C.

I and III

D.

All of the Above

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Question # 62

Section B (2 Mark)

Which of the following statements is / are correct?

Options:

A.

Only I and II

B.

II, III and IV

C.

I, II and III

D.

All of the above

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Question # 63

Section A (1 Mark)

Employees Provident Fund is applicable to firms employing over _______________ employees

Options:

A.

20

B.

15

C.

10

D.

25

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Exam Code: CWM_LEVEL_2
Exam Name: Chartered Wealth Manager (CWM) Certification Level II Examination
Last Update: Jan 31, 2025
Questions: 1259
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