Friyay Quiz

A visually engaging illustration of financial concepts, featuring investment accounts, advisers interacting with clients, and elements representing digital finance, all set in a modern office environment with a vibrant color palette.

Friyay Quiz: Test Your Investment Knowledge

Welcome to the Friyay Quiz, designed to challenge your understanding of investment accounts and regulations! This quiz consists of 10 multiple-choice questions that cover important scenarios related to financial transactions, investment decisions, and beneficiary arrangements.

Multiple choice questions for a fun and engaging experience
Learn about investment accounts, cooling-off periods, and adviser fees
Perfect for anyone in the financial services industry!

10 Questions2 MinutesCreated by InvestingGuru202

Giovanni Raffa calls and wants to find out how to load a beneficiary for his client invested into a TFSA. He is unable to do this on the web yet.

He cannot load a beneficiary for a TSFA. On death, the investment forms part of the client’s estate and will be dealt with according to their will and testament I.e. Executor of the client’s estate will decide who gets the proceeds.

We have not yet developed this functionality on the web, but he can provide beneficiary details telephonically or by email and we can load this in the back end.

He needs to use the relationship tab when creating the client on the web to load the beneficiaries.

Steven Cobley, an active INN8 adviser, loads 10 new investment accounts (each with R1 million) before 10 am today for his client, Mr. Chris Hemsworth. You notice that INN8 will collect R10 million in one day from the client's bank account and inform him that:

We are collecting R1 million per account at INN8 and everything is in order. We will monitor the transactions and confirm once all is in order.

The maximum amount that we can collect from one bank account per day is R1 million, and he needs to amend his instruction. Alternatively, we will collect the amount on 10 different days in order to set up the 10 accounts.

The web is supposed to pick up contributions from a bank account that exceeds R1 million. You will log the error and escalate this to your manager and IT team.

We can load more than R1 million per day, but need 10 bank accounts to load different instructions. If he would like R10m on one day, he will need to add more bank accounts.

Roderick Riley opened an investment account for his client last week. She contributed R100 000 by EFT. His client changed her mind and Roderick now wants to find out about the cooling-off period and how to exercise this.

The cooling-off period is 30 days and he is within the timeline to exercise this. We haven't developed the web for this yet, and you inform him that we need an email informing us of his instruction. He can send this to service@inn8.co.za.

He cannot withdraw the money as there is a 45-day hold on it. He can submit the instruction now and we will pend it until the units are cleared and we will automatically process the withdrawal.

The cooling-off period is 31 days and he is within the timeline to exercise this. We haven't developed the web for this yet, and you inform him that we need an email informing us of his instruction. He can send this to service@inn8.co.za.

There is no cooling-off period for investment accounts. He can submit a withdrawal on the web, which will (if applicable) have a CGT impact

By default, distributions on an investment are:

Invested into the unit trust fund and then automatically reinvested into PCA.

Invested into PCA and kept to pay for fees.

Invested into PCA and then automatically reinvested into the unit trust fund/asset that earned the distribution.

Invested directly into the relevant unit trust without going into PCA first

The web is down and Michael, a new INN8 adviser sends an email asking us to load adviser fees for his clients' new investment account. He is attempting to load an initial fee of 2% and an ongoing fee of 1%. You confirm:

He cannot load the fee as it is as either the initial fee or ongoing fee is out of our limits. If he wants to earn an ongoing fee of 1%, his initial fee must be below 1.5%. If he wants to keep the initial fee at 2%, he needs to reduce the ongoing fee below 0.5%.

Apologise for the issues with the web and confirm you will load the fees for him in the back end. You will confirm once complete and confirm that this will send confirmation to his client.

The web is not meant to be down for more than 30 mins. You ask for him to please wait until the web is up and then submit the instruction.

As his initial fee is above the maximum fee of 1%, we cannot load the fee. He is allowed to charge the maximum ongoing fee of 3% and then he needs to reduce his initial fee to our maximum of 1%.

Geoffrey Mann submits a withdrawal for his client of R10 000 from their investment account on 31 December 2020 at 9am. His client urgently requires the funds for the new PS5. There are no delayed funds. You confirm:

The funds will be paid into his client's bank account by Tuesday, 5 January 2021. It may take an extra day to reflect depending on the banking timelines.

The funds will absolutely reflect in his client's bank account by Tuesday, 5 January 2021.

The funds will be paid into his client's bank account by Monday, 4 January 2021. It may take an extra day to reflect depending on the banking timelines.

The funds will be paid on Wednesday, 6 January 2021 but as you understand the urgency, you'll try to escalate this to your manager to see if we can process a quicker payment.

Savannah Ray has a regular withdrawal of R5000. She decides to cancel her regular withdrawal on 19 January 2021 at 08h30. Her adviser contacts you, worriedly, as she urgently needs to submit this instruction before her leave and is unable to do this online. You confirm:

That this is possible to do online and prompt her to do so by providing steps. You reassure her that her client will not receive her January withdrawal.

The cut-off for the January payment has passed. We were meant to receive the instruction before cut-off on 14 January 2021 for us to cancel January's regular withdrawal. We can cancel the February regular withdrawal on her behalf.

The cutoff for the January payment has passed. We were meant to receive the instruction before the cut-off on 18 January 2021 for us to cancel January's regular withdrawal.

That we can cancel the regular withdrawal over email/telephone and will confirm once we have cancelled the regular withdrawal. This will be done immediately and there is no need to worry.

Dan a client who recently passed away, had nominated his family Trust as the beneficiary of his living annuity. The executor of the family trust calls to find out what options are available for the family trust to receive this benefit?

The executor can request to purchase a living annuity in the trust's name.

The executor can quickly change the beneficiary nominations so that the policy is paid to the individual beneficiaries instead of being paid to the trust so that annuities can be taken out in the names of the beneficiaries.

Friyay Quiz

Friyay Quiz: Test Your Investment Knowledge

More Quizzes