Recent Question/Assignment

No minimm words
1. At the first client interview, what documents would you complete to commence the financial planning process?
? Financial Service Guide (FSG)
? Fact Find
2. In view of the ‘Economic clock’, what would be the likely conditions in a time of ‘boom’?
Every economy has a rate of -trend- to growth - the speed with which the economy has tended to grow in the last decades. The economic cycle is a fluctuation of economic activity, above or below this growth rate. An economic cycle comprises the time it takes for an economy to go through a high, a low, and back to its usual trend. At the boom time (High time), the economy can grow very quickly, but generally this expansion has a brief life, giving rise to the fall in negative territory - that is, to the contraction of the economy. If the economy contracts for two successive quarters, it is technically in recession. This journey goes hand in hand with rising unemployment and reduced corporate profits. In another words, the boom phase can be identified by expansion, high employment, economic growth, and an increase in inflationary conditions.

3. If interest rates are low, what financial products might a Conservative investor be comfortable to invest in and why? Provide an explanation of your decision.
4. Your client is 30 yo investor who has a ‘growth ‘risk profile, and you have selected an equity fund with a mix of Australian equities 80% , International equities 10% and cash and fixed interest 10%. What assumptions, would you make?
5. What government and industry websites are accurate sources of information for your investment and product recommendations?
6. What are some ways, as a Financial Planner, you could keep up to date with events impacting the current and future economic environment?
7. If a product has been researched by a Research House and it is graded as ‘Redeem’ what does that mean?
8. If you are recommending an investment that is on your Approved Product List (APL), what additional information and research sources are available?
9. What is the difference between Qualitative and Quantitative Research? Are they both important?