Confidently Practice Online with Free CWM_LEVEL_2 Exam Cram

Practice your Chartered Wealth Manager (CWM) Certification Level II Examination certification test with free CWM_LEVEL_2 exam cram and take control of your certification preparation. At FreeExamCram, you can practice online for free using real CWM_LEVEL_2 exam dumps, verified questions, and expert-designed free online practice tests. Moreover our AAFM CWM_LEVEL_2 exam cram backed by our confidence-boosting refund guarantee.

Question 1

Section B (2 Mark)

Consider the multifactor model APT with two factors. Portfolio A has a beta of 0.75 on factor 1 and a beta of 1.25 on factor 2. The risk premiums on the factor 1 and factor 2 portfolios are 1% and 7%, respectively. The risk-free rate of return is 7%. The expected return on portfolio A is __________ if no arbitrage opportunities exist.

Options :

A : 13.50%

B : 15.00%

C : 16.50%

D : 23.00%

Answer: C

Question 2

Section A (1 Mark)

The income received by the approved superannuation fund on the investments made by the fund is

Options :

A : Exempt from income tax

B : Taxed as the concession rate of 10% of the income

C : Taxed at the hands of employees concerned based on the share of each employee

D : Taxed under Capital Gains Tax depending upon the nature of investment

Answer: A

Question 3

Section B (2 Mark)

Which of the following statements is / are correct?

Options :

A : I, II and III

B : I,III and IV

C : II, III and IV

D : All of the above

Answer: A

Question 4

Section A (1 Mark)

The strategies of convertible arbitrage, emerging markets, equity market neutral and fixed income arbitrage are categories of which alternative investments class?

Options :

A : Managed Futures

B : Commodities

C : Hedge Funds

D : Private Equity

Answer: C

Question 5

Section B (2 Mark)

Asset allocation policy

Options :

A : I and II

B : I and III

C : II and III

D : None of the above

Answer: D