2016年cfa全套历年二级模拟题level_ii_mock_exam_afternoon_2011.pdf

2011 Level II Mock Exam: Afternoon Session ® The afternoon session of the 2011 Level II Chartered Financial Analyst Mock Examination has 60 questions. To best simulate the exam day experience, candidates are advised to allocate an erage of 18 minutes per item set (vignette and 6 multiple choice questions) for a total of 180 minutes (3 hours) for this session of the exam. Wilson Macharia Case Scenario Wilson Macharia, CFA, a lawyer specializing in trusts and estate planning, acts as a professional trustee on behalf of several pension funds who require legal expertise. He also provides inputs on the investment process and monitoring of the performance of the funds. Macharia often carries out training seminars to discuss pertinent issues concerning trust law and trustee responsibilities. During a recent training session with trustees of a pension fund Macharia outlined what he thought were the most important parameters of the new Prudent Investor Rule: Parameter 1: Diversification is only required if ropriate to achieve the fund’s objectives. Parameter 2: Trustees must consider fees, costs and other expenses when making investment decisions. Parameter 3: Trustees no longer need to balance current income and growth when making investment judgments. Macharia went on to discuss the differences between the old Prudent Man Rule and the new Prudent Investor Rule as shown in Exhibit 1. Exhibit 1 Changes in Prudent Rules Features Old Prudent Man Rule New Prudent Investor Rule A Each investment within a Prudence test is on the whole portfolio must meet the prudence portfolio test