Financial IQ Test  
What is your financial IQ? Take this 8-question quiz to find out! If you don’t like the results, try again. You will be asked a different set of questions.
     


The number of stocks that make up the Dow Jones Industrial Average is:

5,000.
500.
30.
10.

Investments in CDs:

Are riskier than investments in stocks.
Are inferior to investments in 8-tracks and vinyl records.
Are always tax deferred.
Are insured by the FDIC, but have generally underperformed stock investments over the long run.

Beta is commonly used as a relative measure of risk. It measures:

Standard deviation of a stock’s price.
The expected total returns of a diversified portfolio.
The unsystematic risk component of an investment.
The risk of a security or portfolio relative to the overall market.

For tax purposes, a capital gain is considered long term if the investment was held more than:

1 day.
1 month.
1 year.
10 years.

A prudent investor:

Does not have to consider the tax effect of long-term gains.
Evaluates his/her investments on an after-tax basis.
Studiously avoids income-shifting among funds.
Knows that a drop in the dividend payout signals a stronger firm.

A stock certificate:

Is always issued to the individual investor.
Represents a primary claim on the firm’s assets.
Represents ownership in a corporation.
Is handwritten.

Stocks whose returns are tied closely to the overall national economy are typically called:

Blue Chip stocks.
Defensive stocks.
Speculative stocks.
Cyclical stocks.

Gold may be a good investment if:

Inflation is expected to increase.
You like the color.
World peace comes to pass.
Foreign governments sell their gold reserves.

 
   
   
Strategic Wealth Coach, LLC
1 Market Place, Suite 22 • Essex Junction, VT • 05452
Phone: (802) 878-6155 • Fax: (802) 878-6818
• bhudson@vsrfin.com

Securities and Advisory Services offered through VSR Financial Services, Inc., A Registered Investment Adviser, and Member FINRA/SIPC.  Strategic Wealth Coach, LLC and VSR Financial Services are not affiliated companies.  Robert Hudson holds the FINRA Series 7, 24, 63, 65 security registrations in the states of AZ, FL, IL, MA, MD, MO, NC, NY, SC, VT.  To work with residents of other states, the appropriate registration for the state you reside in must be obtained by Mr. Hudson before proceeding further.  No part of this communication should be construed as an offer to sell any security or provide investment advice or recommendations.  Securities offered through VSR Financial Services, Inc. will fluctuate in value and are subject to investment risks including possible loss of principal. 

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