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CSI AFP-Exam-1 Exam Syllabus Topics:
| Section | Weight | Objectives |
|---|---|---|
| Retirement Planning | 17% | - Pension Plans - Registered Retirement Savings Plans - Retirement Income Strategies - Retirement Needs Analysis |
| Asset and Liability Management | 11% | - Cash Flow Management - Budgeting - Debt Management - Personal Balance Sheet Analysis |
| Professional Conduct and Regulatory Compliance | 10% | - Ethics and Professional Standards - Compliance Responsibilities - Regulatory Requirements |
| Tax Planning | 14% | - Tax-Efficient Strategies - Tax Deductions and Credits - Income Tax Fundamentals - Registered Plans |
| Client Relationship and Practice Management | 6% | - Client Discovery - Communication and Advisory Process - Practice Management |
| Risk Management and Insurance | 12% | - Risk Assessment - Risk Transfer Strategies - Life Insurance - Disability and Health Insurance |
| Investment Planning | 17% | - Investment Theory - Investment Products - Portfolio Construction - Asset Allocation |
| Estate Planning | 13% | - Wills - Estate Transfer Strategies - Trust and Beneficiary Planning - Powers of Attorney |
CSI Applied Financial Planning Certification Exam 1 (AFP) Sample Questions:
1. A client borrows $100,000 to invest in a non-registered portfolio expected to generate interest and dividend income. What tax principle is most relevant?
A) The investment income becomes tax-free because leverage is used.
B) Interest deductibility applies only to TFSA contributions.
C) Loan interest is never deductible for individuals.
D) Interest on borrowed money may be deductible when the funds are used to earn income from property.
2. Jaycee has created an investment portfolio for his client, Adam, which is designed to achieve his long-term objectives and is consistent with his risk tolerance and constraints. It also has to be reassessed periodically to ensure that the long-term benchmark mix continues to reflect Adam's circumstances. Which asset allocation strategy is Jaycee utilizing?
A) Active.
B) Tactical.
C) Strategic.
D) Integrated.
3. Maya, a financial planner, is meeting with a new client who was recently referred to her. In determining the client's overall risk tolerance, what qualitative data should Maya capture as part of her process?
A) Stock option plan details.
B) Past investment experiences.
C) Personal net worth statement.
D) Annual earnings data.
4. Sapphire, age 35, a recent widow, is still in the grieving stage. She has just received a large insurance payout.
She has limited savings, a long-term time horizon, and a high tolerance for risk. What investment strategy should her financial planner recommend until Sapphire is better able to understand her new situation?
A) Deposit the funds into a high interest savings account.
B) Deposit the funds into a moderate risk investment portfolio.
C) Deposit the funds into a portfolio of traditional and index-linked guaranteed investment certificates.
D) Deposit the funds into a high-risk investment portfolio.
5. A client sends an email alleging that a mutual fund recommendation was unsuitable because the fund declined sharply after purchase. The client asks for compensation. What is the financial planner's first professional obligation?
A) Remind the client that all investments can lose money and close the matter.
B) Promise reimbursement to preserve the relationship.
C) Delete the email if the account forms were signed correctly.
D) Document the complaint and follow the firm's complaint-handling procedure.
Solutions:
| Question # 1 Answer: D | Question # 2 Answer: C | Question # 3 Answer: B | Question # 4 Answer: A | Question # 5 Answer: D |







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