FROM "CARING FOR YOUR CLIENT," ON PAGE 51:
1. How many Americans live with chronic obstructive pulmonary disease?
a. 10 million
b. 11 million
c. 12 million
d. 14 million
FROM "WEDDED BLISS," ON PAGE 55:
2. What is the current tax rate on bequests to a spouse who is a U.S. citizen?
a. Zero
b. 10%
c. 15%
d. 17%
FROM "NOT SO FAST," ON PAGE 99:
3. When is the deadline for recharacterizing a 2010 Roth conversion?
a. Jan. 1, 2011
b. Oct. 17, 2011
c. April 15, 2011
d. Dec. 31, 2011
FROM "RISKY BUSINESS," ON PAGE 109:
4. What happens to a client's risk tolerance when the interviewer assessing the risk is attractive?
a. It tends to be lower
b. It drops, then returns to normal
c. It remains unchanged
d. It tends to be higher
FROM "INCOME CHOICES," ON PAGE 115:
5. How many insurance companies offer longevity insurance with payments that adjust for actual inflation?
a. All
b. Half
c. Two-thirds
d. None
6. Guaranteed lifetime withdrawal benefits use a variable annuity chassis, while standalone living benefits use ________.
a. Individual stocks or bonds
b. Mutual funds or managed accounts
c. Structured notes or swaps
d. Insurance policies or bond ladders
FROM "GETTING BACK IN," ON PAGE 123:
7. There is a ____ chance of a lump-sum investment dropping in value in its first year, and a ____ chance of it incurring a multiyear loss.
a. 25%, 50%
b. 30%, 15%
c. 50%, 25%
d. 15%, 30%
FROM "NICE NICHE," ON PAGE 127:
8. From 2007 through 2010, index annuity sales grew to ______.
a. $31.4 billion
b. $10 billion
c. $41.3 billion
d. $12 billion
FROM "INDIVIDUAL CHOICE," ON PAGE 131:
9. According to BondDesk, the median expense ratio for a corporate bond in 2010 was _____. For a municipal bond, it was _____.
a. 23 basis points, 22 basis points
b. 25 basis points, 27 basis points
c. 22 basis points, 23 basis points
d. 29 basis points, 31 basis points
FROM "FIRST AND GOAL," ON PAGE 135:
10. Risk capacity is measured as potential losses a client can withstand economically and still meet his or her personal goals.
a. True
b. False
