IFSE Institute Exam CIFC Topic 4 Question 6 Discussion

Actual exam question for IFSE Institute's CIFC exam

Question #: 6
Topic #: 4

[All CIFC Questions]

10 years ago, Felipe opened a registered retirement savings plan (RRSP) account and purchased a mutual fund. The mutual fund purchased included a 7-year deferred sales charge (DSC). At the time of making his investment, him and his Dealing Representative agreed that he had a 25-year growth objective. Since Felipe knew that he was not planning to use his investment until he retired, he was not

concerned about the DSC. Although the rate of return did vary from year-to-year, he never noticed his mutual fund having a drop in value. This gave Felipe more confidence in the investment. As a result, he has never made any changes to his investment.

What category of Know Your Client (KYC) information has been given?

AFinancial circumstances

BInvestment experience

CRisk profile

DPersonal circumstances

Show Suggested Answer

Suggested Answer: B

by Zachary at Jun 13, 2025, 01:54 AM

Limited Time Offer

25%

Off

Get Premium CIFC Questions as Interactive Web-Based Practice Test or PDF

Contribute your Thoughts:

Submit Cancel

Judy

14 hours ago

I agree with Dottie. Felipe's 25-year growth objective and not planning to use his investment until retirement indicate his financial circumstances.

upvoted 0 times

...

Rochell

14 hours ago

This seems to be a question about the client's investment time horizon, which is one of the key KYC factors. The fact that Felipe had a 25-year growth objective is clearly relevant here.

upvoted 0 times

...

Dottie

3 days ago

I think the category of Know Your Client (KYC) information given is Financial circumstances.

upvoted 0 times

...