Last Minute Exam Q’s

Question 1

Explain life insurance tree?

Answer 1

Term insurance

Life assurance
The funds
Endowment policies (unit linked & full endowment policies)

Question 2

What is an endowment policy?

Answer 2

An endowment policy is like a savings pot where you can invest. It’s under life assurance and will pay you out either when you die or when policy ends.

Question 3

What did you discover about term insurance?

Answer 3

That term insurance only pays out if you die in the term of that time

Question 4

List the different types of ISA?

Answer 4

ISA (Cash), stocks and shares ISA, Junior ISA, Lifetime ISA, help to buy ISA

Question 5

Describe lifetime ISA?

Answer 5

For 18-39 year olds and government gives bonus/ incentives for saving, can help with saving for home or retirement.

Question 7

Describe a help to buy ISA?

Answer 7

Was set up to save for first home, was replaced by lifetime ISA.

Question 8

What replaced Help to buy ISA?

Answer 8

Lifetime ISA (home and retirement)

Question 9

Before and after 2016, is this pension stuff?

Answer 9

No it’s state pension

Question 10

What’s PPF?

Answer 10

Pension protection fund and they’ll step in if company paying your pension goes bust

Question 11

What’s the open ended vs closed ended?

Answer 11

Investment trusts are closed

OEICS, investment funds and unit funds are open ended

Question 12

NAV belong to what topic?

Answer 12

Unit funds