Chapter 1 - Financial Services Sector (3%)

Question 1

What is an Equity Market?

Answer 1

The Trading of shares

Question 2

What is Bond market and what are the 3 types?

Answer 2

Government, Supranational and corporate bonds

Question 3

What is the Fx Market

Answer 3

Foreign Exchange

Question 4

What is professional indemnity captured under?

Answer 4

Insurance Markets

Question 5

What is Global Market Capitalisation?

Answer 5

The total value of shares listed on the worlds stock exchanges

Question 6

What is an MTF/ATS ?

Answer 6

Systems that bring together multiple parties that are interested in buying and selling financial instruments like shares.

Question 7

What is a IDB ?

Answer 7

Inter-dealer broker

Question 8

Where/how does an IDB operate?

Answer 8

Dark Pools or electronic communication networks (ECNs)

Question 9

How does the bond and equity market differ from one another?

Answer 9

Bond market is less frequent but larger trades

Question 10

Where is the majority of FX traded?

Answer 10

UK

Question 11

What is Fidicuary

Answer 11

Someone that acts on behalf on some body else