1. ABS 2. ACB 3. ADS 4. AIP 5. ATS

1. Asset-Backed Securities 2. Adjusted Cost Base 3. American Depository Share 4. Accumulated Interest Payments - RESPs 5. Alternative Trading System

Accumulated Interest Payment - from unused RESP

Annuity Terms 1. Annuitant 2. Prescribed 3. Non-prescribed

1. Annuiant - person who's life contract is based on 2. Tax pread evenly over payout phase 3. Tax payer pays tax on interst portion received each year - more interest early years less later - like paying down mortgage in reverse

0 = risk free 1= same as market risk - market index- will ALWAYS =1 - a multiplier: 1. 5 = will move 1.5 times marke movement

Capital Asset Pricing Model - gives expected return on portfolio given varibles: 1. portfolio beta 2. risk-free rate of return 3. return of market portfolio

Death and Taxes 1. Letter of Probate also called ? 2. % charged for probate 3. Personal Care POA (protection Mandate, QC) vs Enduring/Continuing Power of Attorny 4. Executor in QC called ? 5. The 3 acceptable forms of Wills 6. QC- Patrimony means?

1. Certificate of Appointment of Estae Trustee 2. 1-2% of fair market value of estate - dets registered against real property 3. Personal Care POA- can make life decisions General POA - fin affairs ONLY if you are competant Endure/Cont - only financial afairs- if mentally capable AND in capable 4. Liquidator 5. a-Conventional, b- Holographic, c- QC-notarial 6. Mortis Causa - quasi will - deathbed gift 7. Whole of a persons rights and obligations that have an economic value (assets/liabilities) - transfers to 'legatees'/heirs

NEW- international finance reporting standards OLD - Generally accepted accounting

ACRONYMS Flashcards by Cathleen Shipley

MVP

Minimum Variance Portfolio - farthest left spot on efficient frontier

An EFFICIENT PORTFOIO with LEAST RISK

efficient portfolio =’s EITHER max return for risk OR min risk for return

Graph - expected return up L-side and risk along bottom

best portfolio == most expected return for least risk
line connecting all the best portfolios = Efficient frontier

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1990 (after 1989) annuity rule change

interest must be reported in te year earned
prior - could defer up to 3 years (i.e. reort every 3rd year)

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Bump
Pipeline
Loss Carry-back

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55 and 55

CHIP- camera home income plan

55yrs

55% appraised value max

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A Tax Payers Dream

Transferrable non-refundable tax credits

A- age credit

T- Tuition creit

P- pension credit

D- Disability credit

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Asset-Backed Securities
Adjusted Cost Base
American Depository Share
Accumulated Interest Payments - RESPs
Alternative Trading System

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AIP

Accumulated Interest Payment

from unused RESP

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Annuity Terms

Annuitant
Prescribed
Non-prescribed

Annuiant - person who’s life contract is based on
Tax pread evenly over payout phase
Tax payer pays tax on interst portion received each year - more interest early years less later - like paying down mortgage in reverse

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Assuris coverge rules

1) GMWBS during accumulation phase

higher of - $60K per contract or 85% guaren teed witdrawal balance

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Beta

0 = risk free

1= same as market risk

market index- will ALWAYS =1
a multiplier:
1. 5 = will move 1.5 times marke movement

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Bond ladder - a bond maturing each year

Barbell - concentrated securities (bond) on short and long end

BULLET - all bod positions share same maturity date

bulleet bond - toal repayment 1X vs amortizing - little payme ts all along

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CAPM

Capital Asset Pricing Model

gives expected return on portfolio given varibles:

portfolio beta
risk-free rate of return
return of market portfolio

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CCPC

Canadian controlled private Corporation

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Capital Gains and Attributiion Rules - mnemonic

Capital Gains stay with the

Children &

Grandchildren

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Cohabitation Agreement

people living together

deals with break-up issues

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Coin JARS

“Listed personal property”

C- coins

J- jewlery

A- artwork

R-rare manuscripts/books

S- stamps

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CSA

Canadian securities Administrators

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Death and Taxes

Letter of Probate also called ?
% charged for probate
Personal Care POA (protection Mandate, QC) vs Enduring/Continuing Power of Attorny
Executor in QC called ?
The 3 acceptable forms of Wills
QC- Patrimony means?

Certificate of Appointment of Estae Trustee
1-2% of fair market value of estate - dets registered against real property
Personal Care POA- can make life decisions
- General POA - fin affairs ONLY if you are competant
- Endure/Cont - only financial afairs- if mentally capable AND in capable
Liquidator
a-Conventional, b- Holographic, c- QC-notarial
Mortis Causa - quasi will - deathbed gift
Whole of a persons rights and obligations that have an economic value (assets/liabilities) - transfers to ‘legatees’/heirs

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FATCA - Fat Cats

Foreign account tax compliance act - aimed at reducing tax evasion

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Full service brokerage (FSB)

semi-integrated services with some HNW services - dominated by bank owned dealers

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GAAR vs IFRS

NEW- international finance reporting standards
OLD - Generally accepted accounting
*

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Get Extra Marks Learning Directional!

Major Hedge Fund Strategies by Market Event

DIRECTIONAL STRATEGIS =

G-global macro

E- emerging markets

M- managed futures

L- long/short equity

D-dedicated short bias

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GMWBs

guaranteed minimum withdrawal benefit contract

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Great

Tax

Credits

Now

Determining tax on Dividends

G- grossed up by 38% - 1.38

T- tax owing on grossed up amount

minus

C- credit 15.02% - 15.02 of grossed up

N- Net tax payable

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Harley-Davidson Motorcycles were Driven to the Event

Major Hedge Fund Strategies by Market Exposure ## Footnote H- high-yeild bonds D-distressed securities M- merger or at risk arbitrage D-driven, E-event --- Event Driven strategies

Interest Mortgage Tests LowerFinacial Difficulties

Interest rate Mortgage stress test Term & Amortization Loan-to-Value Ratio (LTV) Fees Debt Service Ratios (GDS & TDS)

Inver vivos vs

IPS

Investment Policy Statement

IVICs

Individual Ivstment Insurance Contracts

List Of Various Ratios

L-liquidity O- operating V- value R- risk analysis

LTV stands for?

Loan to Value - max 80% or CMHC insurance needed - loan amount / home value

Marriage Contrct

- are about to be married - protcting unequal assets going in PRE-NUP - stated how assets divided if divorce - similar to cohab

MD and A

Managers Discussion and Analysid

MFCS

Mutual fund dealers association of Canada

Mortis Causa

death bed gift - quasi will

Mutual Fund legislation

MFDA- mutual fund dealers Association

Returns To Be Prepared

1. Rights and things - thins not yet paid/received when you die * amounts declared NOT accrued (those go on 1st) 1. Tetamentary Trust 2. Business Returns 3. Personal Tax return

PA vs PSPA

PA - pension amount- from prior year *(alphabetically 1st- 1st in equation)* PSPA- past service pension adjustment * (retroactive contribution to your plan* * - bigger/longer- use current year)*

participating annuity's similar concept to participating preffered shares

- gives investors ccess to extra dividends

PCMLTFA

proceeds of crime money laundering and terrorist financing ACT

PIPEDA

Personal information protection and electronic documents act

Private investment Council (PIC)

Mono- line Pick of the litter - HNW only - only discretionary - outside PMW channel

PSB

Personal service business

PWM- private wealth management includes what services?

P- private banking W- personal trust services M- investment counseling Fully integrated comprehensive services

QDT

Qualifyied Disability Trust (?Henson Trust?) - GRE - graduated rate estate

R I S K

Most Risky .... Common shares Prefered Shares Capital Securities Unsecured ceditors Secured Creditors First Mortgage bonds/ Asset-backe Securities ...Least Risky

RCS

What time is compensation agreement

Returns To Be Prepared

R- Rigts or things T- Testamentary trust B- Business returns P- Personal Tax return

Right vs Right Ethical Dilemmas F- fairness I- Integrity G- Goal-based S- Societal

F- Justic vs Mercy I- Truth vs Loyalty G- short vs long-tem S- individual vs group

RRBs

Real Return Bonds

* Henson Trust also called? RULES: - ncome type? - reporting requirement - set-up timeline - quaalified benefiiaary - Taxed?

* QDT- Qualified Disability Trust - Fully discretionary trust 1. Can only receive CAN income 2. Must make joint election in it's T3 return 3. can be st up pre/post death 4. Beneficiary must have DTC NOTE: provides/uses graduated taxes - exception to 2016 tax rule ending this for trusts

RVs are Family Camping Equipment

_Major Hedge Fund Strategies by Market Exposure_ ## Footnote R- relative V- value strategis: F-fixed income arbitrage C- convertable arbitrage E- equity market neutral

Are your investment returns in SINC with your benchmark?

_4 Classes of Benchmark portfolio's_ 1. Sharpe bench marks 2. Investment-style benchmarks 3. Normal portfolios 4. Composite market indexes

Separation Agreement

- between MARRIED people - outlies: 1. division of property 2. custody/access & child support payments 3. spousal support paymeys

SERP

Supplemental executive retirement plans

T1135- T3- TRUST T4- JOB T4A- PENSION T5- INVESTED T5-8- SALES

T1135- Foreign Income Verification 3- Statement of Trust Income Alloctions & Designations 4- Statement o Renumerations Paid 4A- Statement of Pension, Rretirement, Annuity & Other Income 5- Statement of Investment Income 5008- Statement of Securities Transactions

TAA

Tactical asset allocation

The major occupational groups of the high net worth client segment include:

Entrepreneurs Retirees Professional service provider Senior business executives Inherited wealth Celebrities Wealthy immigrants

Trends shaping the future of wealth Management ACT

Aging - changing demographics Competition increasing Technology advances

USURFRUCT

Why Really Rich Athletes Retire Sooner

Sources of EARNED INCOME W- wages R- rental income R- royalties A- alimony received ( deduct if paying) R- research grants S- supplemental UI/EI benefits

ACRONYMS Flashcards

(61 cards)