Chap 13 Flashcards
1
Q
What are the banks’ 3 main goals for PPNs?
A
Guarantor, manufacturer, distributor
2
Q
Are PPNs protected by CDIC?
A
NO
3
Q
Are PPNs sold under a prospectus? Why/why not.
A
No because they are not considered a security.
4
Q
What is first order risk?
A
Risks associated with interest rates, equities, currencies, commodities
5
Q
What is second order risk?
A
Liquidity
6
Q
Which 2 funds can buy back their shares periodically?
A
Interval funds and closed-end discretionary funds
