Suitability Questions Flashcards
1
Q
Preservation of capital; safety
A
Government securities or Ginnie Maes
2
Q
Growth
A
Common stock or common stock mutual funds
3
Q
Balanced or moderate growth
A
Blue-chip (large-cap) stocks
4
Q
Aggressive growth/speculation
A
Technology stocks or sector funds
5
Q
Income
A
Bonds - but not zero-coupons
6
Q
Tax-free income
A
Municipal bonds or municipal bond funds
7
Q
High-Yield income
A
Corporate bonds or corporate bond funds
8
Q
Equity income
A
Preferred stock and utility stocks
9
Q
Liquidity
A
Money market funds (DPPs, CDs, real estate, annuities not considered liquid)
10
Q
Keep pace with inflation
A
Stock portfolio
