QFA Regs - Sample Paper 1 Exam Questions And Answers
8 views 0 purchase
Course
QFA
Institution
QFA
The primary objective of structural regulation of financial services firms is to:
A minimise risks to the financial system.
B ensure financial services providers remain solvent at all times.
C ensure only those with sufficient financial standing and integrity can become financial services firms...
QFA Regs - Sample Paper 1 Exam
Questions And Answers
The primary objective of structural regulation of financial services firms is to:
A minimise risks to the financial system.
B ensure financial services providers remain solvent at all times.
C ensure only those with sufficient financial standing and integrity can become financial services
firms.
D enforce compliance by financial services providers with consumer law. - ANS C
1.2.1
In relation to a financial services firm established in an EU country, the term 'freedom of
services' means being able to:
A set up a branch in another EU country.
B provide any type of financial service the firm wishes to provide, without requiring any fresh
authorisation.
C charge different levels of fees to different consumers, without requiring authorisation to do so.
D provide financial services to consumers in another EU country on a cross border basis. - ANS
D
1.2.1
A life assurance company established in Germany sells policies to residents of the Republic of
Ireland. Who regulates the solvency of this life company?
A The Irish Central Bank.
B The German Regulatory Authority, BaFin.
C The European Insurance and Occupational Pensions Authority.
D The European Securities and Markets Authority. - ANS B
1.2.4
The prescription of procedures which must be followed by financial services firms in their
dealings with consumers is which type of regulation?
A Structural.
B Systemic.
C Prudential.
D Conduct of Business. - ANS D
,1.2.4
The Central Bank shares its function to prohibit unfair, misleading or aggressive commercial
practices by financial services providers with the:
A Competition and Consumer Protection Commission.
B Director of Corporate Enforcement.
C European Insurance and Occupational Pensions Authority.
D European Securities and Markets Authority. - ANS A
1.3.1
The MAXIMUM fine which the Central Bank can impose personally on Mary, the CEO of a bank,
for non-compliance by the bank with financial services regulations is:
A €0.5 million.
B €1 million.
C €2 million.
D €5 million. - ANS B
1.3.3
The Central Bank shares its power to undertake surveys of the provision of financial services to
consumers with the:
A Consumers' Association of Ireland.
B Competition and Consumer Protection Commission.
C European Insurance and Occupational Pensions Authority.
D European Securities and Markets Authority. - ANS B
1.4.3
The Central Bank does NOT authorise and regulate which one of the following entities
established in the State?
A Life assurance companies.
B Credit intermediaries.
C Home reversion firms.
D Reinsurance companies. - ANS B
1.4.4
The Competition and Consumer Protection Commission can impose a levy on:
A insurance intermediaries.
B banks.
C credit intermediaries.
D investment intermediaries. - ANS B
, 1.4.5
An investment intermediary CANNOT provide investment advice on which one of the following?
A Contracts for Difference.
B Bonds listed on a Stock Exchange.
C Non-insurance tracker bonds.
D Collective investment funds. - ANS A
2.3
XYZ Investment Advisers Ltd is a deemed authorised investment intermediary, currently
providing advice on bonds listed on a Stock Exchange and non-insurance tracker bonds.
The firm now wants to provide advice to its clients on UCITS funds provided by TOP Investment
Managers Ltd. In order to do so, XYZ must:
(i) get permission from the Central Bank to give advice on collective investment funds.
(ii) get an agency appointment with TOP Investment Managers Ltd.
(iii) have minimum shareholder funds of €50,000.
A (i) only.
B (ii) only.
C (ii) and (iii) only.
D (i), (ii) and (iii). - ANS B
2.3.1
ACE Investment Advisers Ltd, an investment intermediary, is currently authorised under Section
10 of the Investment Intermediaries Act, 1995, to provide advice on shares listed on a Stock
Exchange and non-insurance tracker bonds.
The firm now wants to provide advice to its clients on UCITS funds provided by TOP Investment
Managers Ltd. In order to do so, ACE must:
(i) get permission from the Central Bank to give advice on collective investment funds.
(ii) get an agency appointment with TOP Investment Managers Ltd.
(iii) have minimum net shareholder funds of €50,000.
A (i) only.
B (iii) only.
C (i) and (ii) only.
D (i), (ii) and (iii). - ANS C
2.3.1
An investment intermediary which can legally act for only one bank in receiving deposits is
called a deposit:
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller DocLaura. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $11.39. You're not tied to anything after your purchase.
