Smartly Prepare Exam with Free Online CWM_LEVEL_2 Practice Test

We offer the latest CWM_LEVEL_2 practice test designed for free and effective online Chartered Wealth Manager (CWM) Certification Level II Examination certification preparation. It's a simulation of the real CWM_LEVEL_2 exam experience, built to help you understand the structure, complexity, and topics you'll face on exam day.

Question 1

Section C (4 Mark)

Read the senario and answer to the question.

Jogen commuted his 40% of pension in April, 2008 with Rs. 2,15,000.What would be the taxable amount on commuted pension received by Jogen, if he would retire from a private organization?

Options :

A : Rs. 1,07,500

B : Rs. 35,833

C : Rs. 1,70,167

D : Rs. Nil

Answer: B

Question 2

Section C (4 Mark)

An investor purchased on margin Alpha Computer for Rs. 30/- a share. The stock's price subsequently rose to Rs. 50/- a share at which time the investor sold the stock. If the margin requirement is 60 percent and the interest rate on borrowed funds was 7 percent, what would be the percentage earned on the investor's funds (excluding commissions)? What would have been the return if the investor had not bought the stock on margin?

Options :

A : 108.47%, 52.36%

B : 106.44%, 66.7%

C : 102.23%, 57.39%

D : 95.26%, 47.27%

Answer: B

Question 3

Section B (2 Mark)

The following parameters are available for two mutual funds:

Calculate Treynor's performance index for Fund A & Fund B respectively

Options :

A : 8, 1.66

B : 10, 3.33

C : 9, 2.50

D : 18, 4.25

Answer: B

Question 4

Section A (1 Mark)

Which of the following is not a broad category of Alpha drivers?

Options :

A : Bulk Beta

B : Cheap Beta

C : Long/Short Investing

D : Concentrated Portfolios

Answer: A

Question 5

Section A (1 Mark)

Debt Equity Ratio is 3:1,the amount of total assets Rs.20 lac, current ratio is 1.5:1 and owned funds Rs.3 lac. What is the amount of current asset?

Options :

A : Rs.5 lac

B : Rs.3 lac

C : Rs.12 lac

D : None of the above.

Answer: C