Exam 15: Securities, Investment Insurance Products

Mutual funds face market risk, but little or no operational risk.

Convergence refers to:

Consolidation refers to:

One of the principal goals of the NAIC

Citigroup could be classified as

Life insurance companies are regulated by

One of the benefits of intermediation is lower taxes.

Consolidation refers to the concentration of assets due to mergers and acquisitions.

Cash surrender value is the current price of money market funds.

Operational risk refers to

Hybrid funds invest primarily in derivatives.

Secondary securities include demand deposits and mutual fund shares.

Insurance transfers risk between financial intermediaries.

Annuities provide for

Mutual funds are a good source of fee income for the financial institutions that invest in them.

Whole life is the same as:

Credit life insurance is used to ensure the payment of loans in the event the borrower dies.

Convergence refers the various types of financial services that are available today because of changes in technology.

CMOs are similar to ABS.

S. life insurance companies are