CISI Investment Funds in Canada (IFC) - IFC Exam Questions

QUESTION NO: 1
Gary chooses not to recommend that his client sell a current mutual fund to purchase a similar new mutual fund despite pressure to meet a sales target for the new fund. What responsibility applies to Gary's action?

QUESTION NO: 2
Your clients, Jessica and Ken, want to buy a house next year. You recommend a money market fund. How do you think a money market fund will help Jessica and Ken reach their goal?

QUESTION NO: 3
Which of the following statements about total return for money market funds is TRUE?

QUESTION NO: 4
Marc asks his new client for copies of his mortgage documents. Which Know Your Client component is Marc researching?

QUESTION NO: 5
Rashad is a Dealing Representative with Investors Network Corp., a mutual fund dealer. Investors Network is registered in all provinces and territories of Canada and Rashad is registered in the Edmonton, Alberta branch. Rashad is told to provide his Branch Manager with a number of client files. The client files will be part of a compliance review by the applicable self-regulatory organization (SRO). Which regulator will review Rashad's client files?

QUESTION NO: 6
Which statement about unused registered retirement savings plan (RRSP) contribution room is CORRECT?

QUESTION NO: 7
Fred's client, Matteo, holds a technology-themed mutual fund. The fund's investment objective recently changed, allowing it to hold various cryptocurrencies, resulting in a high-risk rating and making it unsuitable for Matteo. Fred discussed the change with his client, but Matteo insisted on continuing to hold the fund.
What action must Fred take?

QUESTION NO: 8
Which among the following plans includes a provision that places a maximum limit on the amount that can be withdrawn during a calendar year?

QUESTION NO: 9
Armand, a financial advisor, recently met with Austin, a potential client. Austin is interested in a conservative portfolio that focuses on mature companies that are out of favour with a low turnover. What is the best investment philosophy for Austin?

QUESTION NO: 10
The following information is available for Monique:
Number of children
1
Lifetime RESP contributions to date
$45,000
CESG received to date
$7,200
Family income
$120,000
Desired current year contribution
$7,000
What is the maximum RESP contribution that Monique can make this year?

QUESTION NO: 11
Your client's unused RRSP contribution room is $46,000. He contributes $15,000 in the current taxation year.
How much RRSP contribution room can he carry forward?

QUESTION NO: 12
What type of GIC would be most appropriate for an investor who believes equity markets will be strong in the next five years?

QUESTION NO: 13
Taylor is chatting with other parents in the park when the conversation turns to registered education savings plans (RESPs). Taylor thinks that most of what they are saying is incorrect. Which of the following statements about self-directed RESPs is TRUE?