Free Practice IFSE Institute CIFC Exam Questions 2025

Stay ahead with 100% Free Canadian Investment Funds Course CIFC Dumps Practice Questions

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Total 218 Questions | Updated On: Apr 22, 2025

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Question 1

Megan purchases a treasury bill for $98,200. When it matures for $100,000, how does Megan treat the $1,800 difference?

A : as interest income

B : as a capital gain

C : as a dividend

D : as return of capital

Answer: A

Question 2

Saheed is a retiree who is considering splitting his pension income with his wife, Minu. Which of the following outcomes may occur if he shares his pension benefits?

A : Whether the couple saves on income tax will be dependent on Minu’s marginal tax rate.

B : Minu will be exposed to a pension adjustment (PA) if she receives income from his pension

C : This is a form of tax evasion and is therefore considered illegal based on income tax legislation

D : Regardless of how much income each person reports, the total amount of income taxes will not change.

Answer: A

Question 3

Faruq is a Dealing Representative with Smart Planning Group, a mutual fund dealer. Faruq meets with his new client, Taline, and learns that she lives on a low, fixed income. Taline tells Faruq that she wants to maximize her investment returns as high as possible to make up the difference. Taline also indicates that she cannot afford large investment losses because her income is low. Which of the following CORRECTLY describes how Faruq should assess Taline’s risk profile?

A : Taline’s risk profile should be “high” because she is willing to accept risk in order to maximize her investment returns.

B : Faruq should override the risk that Taline is able to accept because her return expectations cannot otherwise be met.

C : Faruq should assess Taline’s risk profile based on the higher of her: (1) risk tolerance and (2) risk capacity

D : Taline’s risk profile should be “low” because her risk capacity is low and she cannot afford large investment losses.

Answer: D

Question 4

Your client, Kimberly has investments in both registered and non-registered plans. Which of the following investment strategies is best suited for Kimberly from a tax perspective?

A : Include investments paying capital gains in the registered plan and foreign pay investments in the non-registered plan.

B : Include domestic pay assets in the registered plan and foreign pay assets in the non-registered plan.

C : Include interest paying investments in the registered plan and dividend paying investments in the non-registered plan.

D : Include dividend paying investments in the registered plan and interest paying investments in the non-registered plan.

Answer: C

Question 5

What is the role of a custodian?

A : to ensure safekeeping of all the securities in the portfolio

B : to oversee the general administration of the mutual fund

C : to construct and manage the portfolio of investments

D : to calculate the daily net asset value per unit (NAVPU) of the mutual fund

Answer: A

Page: 1 / 44

Total 218 Questions | Updated On: Apr 22, 2025

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