2. Mr. A is holding 2,000 unit of Fund ABC. The NAV of the Fund cum-dividend is RM 9. Based on forward pricing, Mr. Lim invested RM 4,000 in Fund A on 13/08/99, how many
1.20, and the fund declare RM 0.10 dividend (assuming no taxes and charges). Upon the unit is he going to get?
declaration, the xd-NAV is RM 1.10, xd-buying price is RM 1.10, xd-selling price is RM A. 3,960.40 B. 4,040.40 C. 4,000 D. 4,166.67
1.15. Assuming Mr. A want his dividend to be reinvested, and the reinvestment price the
same as NAV, what is the investment value of Mr. A after the dividend? 10. Based on forward pricing, Ms. Cheng redeemed 10,000 units of Fund A on 13/08/99, how
A. RM 2,400 B. RM 2,420 much money is she going to get back?
C. RM 2,300 D. None of the above A. RM 9,400 B. RM 9,500 C. RM 9,600 D. RM 10,100
3. Based on Question 2, what is the units holding of Mr. A after the dividend declaration? 11. “The prices are determined by demand and supply”. This is
A. 2,200 units B. 2,000 units one of the characteristics of:
C. 2,181.82 units D. 2,400 units A. Income fund B. Growth fund
C. Open-ended fund D. Close-ended fund
4. Where is the income of Unit Trust Management Company derive from?
A. Services Charge B. Annual Management Fee 12. Which of the following is more likely to declare regular dividend?
C. Commission D. A & B A. Listed fund B. Close-ended fund
C. Income fund D. Growth fund
5. Which of the following is the most risky investment?
A. Money Market Fund B. Hedge Fund 13. Islamic fund can not invest in the followings:
C. Equity Income Fund D. Bond Fund I. Conventional Banking Stock
II. Gambling Stock
6. A decreasing MER stand for which of the following? III. Alcoholic Stock
A. The performance of the fund is getting worse. IV. IT Stock
B. The fund performance is getting better. A. I, II & IV
C. The Management Company is managing the total fees and expenses well. B. II & III
D. The Fund Manager is reducing the annual management fee. C. II, III & IV
D. I, II & III
Question 7 to 10, to be answered based on the following: E. All of the above
The published prices of Fund A were as follows: Question 14 to 17 are to be answered based on the following:
Date NAV Buy Sell NAV cum-dividend of Fund AA is RM 150,000,000, unit in circulation is 100,000,000. The
12/08/99 0.95 0.95 1.00 fund declare dividend 10cents per unit, and the fund manager charging 5% service charges.
13/08/99 0.94 0.94 0.99
14/08/99 0.96 0.96 1.01 14. What is the NAV per unit of Fund AA ex-dividend?
A. RM 1.50 B. RM 1.40
7. Based on historical pricing, Ms. Lee invested RM 2,000 in Fund A on 12/08/99, how many C. RM 1.45 D. RM 1.38
units is he going to get?
A. 2,000 B. 2,105.26 15. What is the NAV per unit of Fund AA cum-dividend?
C. 2,020.20 D. 2,127.65 A. RM 1.50 B. RM 1.40
C. RM 1.45 D. RM 1.38
20. What is the NAV per unit cum-dividend? 30. “Buying Price” in Unit Trust means
A. RM 1.50 B. RM 1.35 C. RM 1.45 D. RM 1.60 A. NAV + Service Charge B. NAV + Redemption Charge
C. NAV – Redemption Charge D. NAV – Management Fee
21. What is the NAV per unit ex-dividend?
A. RM 1.50 B. RM 1.35 C. RM 1.45 D. RM 1.60 31. “Selling Price” in Unit Trust means
A. NAV + Management Fee + Trustee Fee B. NAV + Trustee Fee
22. What is the xd-selling price of Fund B, if the Manager charging 5% service charge C. NAV + Service Charge + Trustee Fee D. NAV + Service Charge
rounding to nearest cent?
A. RM 1.50 B. RM 1.35 C. RM 1.45 D. RM 1.42 32. When the MANAGEMENT COMPANY is managing the total fees and expenses well,
A. The MER will increase B. The Management Fee will decrease
23. What is the investment value of Mr. Ho before the declaration of dividend, if he is holding C. The MER will decrease D. The Initial Service Charge will increase
60,000 units?
A. RM 93,000 B. RM 92,000 C. RM 90,000 D. RM 91,500 33. What is “NAV per unit”?
A. Selling Price – Management Fee
24. Assuming no tax, what is the investment value of Mr. Ho after the declaration of dividend, B. Selling Price – Initial Service Charge
if he is holding 60,000 units and the dividend is reinvested at NAV per unit? C. Buying Price + Initial Service Charge
A. RM 93,000 B. RM 92,000 C. RM 90,000 D. RM 91,500 D. Selling Price – Management Fee – Trustee Fee
25. NAV per unit of Fund C is RM 0.89, assuming there is 5% service charge and no 34. If the NAV per unit of Fund A is RM 1.05, service charge is 5 cents, no redemption
redemption charge, how much Mr. Lee is going to get if he redeem 5,000 units of his charge, management fee is 1.5% and trustee fee is 0.08%. The buying price of Fund A is
investment in Fund C? A. RM 1.05 B. RM 1.10 C. RM 0.93 D. RM 0.98
A. RM 4,450 B. RM 4,227.50 C. RM 4,672.50 D. RM 4,500
36. Which of the followings are improper while approaching a potential investor? 45. What are Closed-ended Unit Trusts?
I. Fund A is ranked 1 st in the Lipper Funds performance Table, so its future return is A. The price fluctuate within the day.
definitely the best. B. The units are not listed on the KLSE.
II. Invest in Fund B, you are guaranteed to receive at least 10% of dividend every year. C. They are Property Trust.
III. Invest in Fund C as its dividend is highest among the others. D. They are Islamic Unit Trusts.
A. II
B. I & II 46. What are Open-ended Unit Trusts?
C. III A. The price fluctuate within the day.
D. All of the above B. The fund manager has to buy back from the investor,
E. II & III if the investor would like to redeem.
C. Transactions are through the stock broker.
37. A client has RM 20,000 and how long would it take to double his money at an assumed D. They are property trust.
investment earning rate of 8% per annum?
A. 9 years B. 10 years C. 12 years D. 6 years 47. “ Selling Price” in Unit Trust means
A. NAV + Redemption Charge
38. Encik Ali has an intention to buy property for investment, however his RM 5,000 is not B. NAV + Initial Service Charge
enough to cover the down payment of the property and he do not want to engage into any C. NAV + Management Fee
loan facility, your suggestion is: D. NAV + Trustee Fee
A. Buy aggressive growth fund B. Buy Property trust fund
C. Put the RM 5,000 into Fix Deposit D. To invest in Stock Market 48. Which of the following statement is valid in regards to the declaration of bonus unit of a
unit trust fund?
39. _________ sets out the obligations and rights of the trustee, manager and unitholders. A. The NAV of the fund will be decreased.
A. Prospectus B. Agreement C. Trust Deed D. Certificate B. The unit price will drop.
C. The number of units in circulation will be decreased.
40. _________is to be given to potential and existing investors, so that they have the necessary D. The profit of the fund will drop.
information to make an informed decision.
A. Prospectus B. Agreement C. Trust Deed D. Certificate 49. How is the buying price of open-ended fund determined?
A. By dividing the total value of the fund with the units in circulation and adjusted
41. If the buying price of a unit is RM 1.10, NAV is RM 1.09 and selling price is RM 1.15, for redemption charge (if any)
how much does Mr. Y have to pay if he wish to purchase 1,000 units? B. At the discretion of the Management Company
A. RM 1,100 B. RM 1,090 C. RM 1,150 D. RM 1,000 C. By demand and supply
D. By diving the NAV of the fund with the units in circulation.
42. According to Question 41, how much is the service charge of the fund?
A. 5 cents B. 5.5 % C. 1 cent D. 4.5 % 50. How is the selling price of close-ended fund determined?
A. By dividing the total value of the fund with the units in circulation and adjusted
43. Mr. Lai has RM 51,000 in EPF A/C I, how much he can withdraw to invest in unit trust for redemption charge (if any)
fund? B. At the discretion of the Management Company
A. Not at all B. RM 1,000 C. RM 200 D. RM 51,000 C. By demand and supply
D. By diving the NAV of the fund with the units in circulation.
44. Mr. Lee has totally RM 100,000 in EPF A/C, how much he can withdraw to invest in unit
52. Which of the following is the perfect investment vehicle for regular savers? 61. Which of the followings are valid?
A. Property B. Current A/C I. Index funds are invested in a range of securities whose performance will most
C. Unit Trust D. Future & Option closely match that of the KLSE Composite Index.
II. Income fund invest mainly in corporate bonds government securities and liquid
53. Among the followings which one has the highest liquidity? securities and liquid security like bills and cash.
A. Property B. Business Ventures III. Open-ended fund are not listed on the stock exchange.
C. Unit Trust D. Saving A/C IV. The prices of open-ended fund is determined by the NAV of the fund.
A. I & II
54. Which of the following has the highest investment risk? B. I , II & III
A. Financial derivative products B. Unit Trust C. All of the above
C. Fixed Deposit D. Saving A/C D. III & IV
55. In a close-ended unit trust, buying and selling is done 62. Which of the following is incorrect?
A. Through the manager of the fund B. Through the stock exchange A. PNB launched the 1 st national Bumiputra unit trust fund – the Amanah Saham
C. Through the trustee of the fund D. Through the security commission National (ASN) in 1981.
B. The second national Bumiputra unit trust fund – the Amanah Saham Bumiputra
56. The basic requirement for investment with EPF fund is: (ASB) was launched in 1990.
A. RM 55,000 in A/C 1 B. RM 50,000 in A/C 1 C. In the year of 1993, The Securities Commission Act was passed.
C. RM 50,000 in A/C 2 D. RM 55,000 in A/C 3 D. The a st unit trust company in Malaysia was formed in 1963.
57. Which of the following description is incorrect? 63. Which of the following is correct?
A. KL Mutual Fund is the biggest fund management company in Malaysia. A. Initial service charge = Selling Price – NAV
B. Permodalan National Bhd (PNB) is the biggest fund manager in Malaysia. B. Redemption Charge = Selling Price – NAV
C. The first unit trust management company in Malaysia was formed in 1959. C. Management Fee = Selling Price – NAV
D. FMUTM was formed in 1993. D. Trustee Fee = Selling Price – NAV
58. Which of the following is the description of Index Fund? 64. Unit Trusts in Malaysia are allowed to invest in the following, except:
A. The objective of the fund is to beat KLCI. A. Fixed Income Instrument
B. The performance will be closely match with KLCI. B. Stock
C. It is a close-ended fund. C. Commodity
D. The purchase and sell have to be done through stock broker. D. Bond