Question

QUESTION 66

1. The Legal List is for

   		investment advisers
   		corporate accounts
   		fiduciaries
   		municipal finance professionals

1 points   

QUESTION 67

1. Which of the following establishes the U.S. Treasury Department as the regulator for anti-money-laundering programs?

   		SDN
   		The Bank Secrecy Act
   		None of the provided answers are correct
   		OFAC

1 points   

QUESTION 68

1. The Federal Reserve Board is responsible for which of the following?

   		Setting Regulation T
   		All provided answers are corrects
   		Printing currency
   		Easing the money supply

1 points   

QUESTION 69

1. Which of the following is rated by most securities rating services?

   		Investment risk
   		Quality
   		Market risk
   		Quantity

1 points   

QUESTION 70

1. An investor owns the following investments:

   50 New York 5-percent general obligation bonds maturing in 2020 and rated AA

   50 Florida University 6.25-percent revenue bonds maturing in 2021 and rated AA

   50 Nevada Turnpike 5.75-percent revenue bonds maturing in 2020 and rated AA

   What type of diversification does this represent?

   		Quantity
   		Maturity
   		Geographical
   		Quality

Answer 1

Ans 66) = d) Municipal finance professional is correct answer. The legal list is a list of companies, investments approved by the government for investment, by banks, pension fund, life insurance companies and other government agencies. List consists of securities that are low volatile, low risk and high safety of principal amount.

A) Investment adviser is incorrect as they generally give a recommendation to there clients according to client's investment objective not based on legal list as there might be investor who wants to take high risk.

B) corporate accounts is incorrect as they don't have a legal list as it is for by government agencies or financial institution like banks.

C) Fiduciaries is incorrect as they act on behalf of other person or persons to manage assets. Fiduciaries don't use legal list. fiduciaries can be best described as a brokerage firm managing share of their clients.