Home > Microsoft > Quizzes > CFA Investment Foundation Program Terms
CFA Investment Foundation Program Terms
Fast practice, instant feedback. Timer auto-submits when time’s up.
Avg score: 100% • Most missed: “Typically companies and governments that sell securities to investors in exchang…”

The CFA Institute Investment Foundations Program covers the essentials of finance, ethics, and investment roles, providing a clear understanding of the global investment industry.

CFA Investment Foundation Program Terms
Time left 00:00
25 Questions

1. Pooled investment vehicles that have a fixed number of shares and thus do not issue or redeem shares on demand. Investors who want to buy or sell closed-end funds must trade with investors willing to sell or buy these funds.

2. The amount paid by the option buyer to the option seller, at the initiation of the option contract, to compensate option sellers for their risk.

3. Products that are frequently consumed together, such as printers and ink cartridges.

4. A measure of financial leverage that indicates the amount of total assets supported by one monetary unit of equity.

5. Client-facing activities that provide direct revenue generation, such as sales, marketing, and customer service activities.

6. An organisation’s willingness to take on risk, which depends on its attitude toward risk and on its risk culture.

7. Institutional investors and investment managers who purchase investment products and services from sell-side firms.

8. The total value of all final products and services produced within an economy in a given period of time (output definition), or equivalently, the aggregate income earned by all households, all companies, and the government within an economy in a given period of time (income definition). Nominal GDP uses current market values. Real GDP adjusts for changes in price levels.

9. Orders that are only seen by the brokers or trading venues that receive them and cannot be seen by other traders until the orders can be filled.

10. Instructions to obtain the best price immediately available when filling the order.

11. Dealers with which central banks trade when conducting monetary policy.

12. The amount to which a payment or series of payments will grow by a stated future date.

13. Metric that divides a measure of portfolio holding-period return by a measure of portfolio risk. The higher the value of this metric, the more return an investment portfolio has generated per unit of risk.

14. Indices for which the weight assigned to each security depends on the security's market capitalisation—that is, the market price of the security multiplied by the number of units outstanding of the security. Also called cap-weighted or capitalisation-weighted, or value-weighted indices.

15. Document that discloses the investment policies, deposit and redemption procedures, fees and expenses, and past performance statistics associated with an investment vehicle.

16. Investment professionals who receive authority from their clients to trade securities and assets on their behalf. Also called investment managers.

17. A reward-to-risk ratio defined as the portfolio’s mean active return (the difference in average return between the portfolio and its benchmark) over its active risk (tracking error).

18. Specified in an options contract, the price to trade the underlying in the future. Also called the strike price.

19. Indices for which the weight assigned to each security is determined by dividing the price of the security by the sum of all the prices of the securities.

20. Trading services providers who participate in their clients' trades and stand ready to buy or sell when their clients want to sell or buy, providing liquidity and profiting when they can buy securities for less than they sell them. Also called dealers.

21. A measure that compares the profit generated from operations with the assets used to generate that income.

22. Cash or securities that are pledged as collateral.

23. Prices at which a dealer is willing to sell an asset or a security, typically qualified by a maximum quantity (ask size). Also called offer price.

24. A number between –1 and +1 that measures the consistency or tendency for two variables to move in tandem with each other.

25. The sum of the items in a data set divided by the number of items.

⚡ Recently practiced quizzes in this topic
Live quiz activity
Exam MD-100: Windows 10 Exam AZ-300: Microsoft Azure Architect Technologies - Practice Test 2 Exam MS-100: Microsoft 365 Identity and Services MS-900: Microsoft 365 Fundamentals Exam Exam MD-101: Managing Modern Desktops Windows Server Administration Windows 2008 Server Core Commands Microsoft 365 Fundamentals Certification MS-900 O365 Fundamentals Exam MS-101: Microsoft 365 Mobility and Security
 
❤ If you liked Fatskills, consider supporting us by checking out The Life Manuals You Never Got.

🌈  Our mission is to help improve your scores in any subject and exam withonline quizzes, practice tests, study guides, & advice for students. Since 2018.
About | Explore | User Guide | Topics | Subjects | Doubt Solver | Career Aptitude Test | Answers | Free Tools | What Should We Know?
Privacy | Terms |
Without work one finishes nothing. - Ralph Waldo Emerson
© 2026 Fatskills.com

All trademarks, logos and brand names are the property of their respective owners. All company, product and service names used in this website are for identification purposes only. Use of these names, trademarks and brands does not imply endorsement.