Topic 9 & 10 Flashcards
What are the investment risks?
credit risk interest rate risk industry risk purchasing power risk foreign currency risk marketability risk political risk liquidity risk
What are the measures of risk
standard deviation, cv
beta
What does the investment policy statement consist of?
investment objectives
investment constraints
What are the four investor life cycle phases?
accumulation
consolidation
spending
gifting
What are the 5 steps to determine how much tax you must pay?
total income assessable income chargeable income gross tax net tax
What are the forms of tax reliefs
earned income relief spouse relief NS relief qualifying child relief working mother child relief parent relief CPF contribution relief foreign maid levy relief
How to minimise tax bill?
minimise assessable income
lower tax rate
maximise tax reliefs
maximise tax rebates
What are the types of interest in estate?
property interest
beneficial interest
legal interest
What are the types of property?
real property
tangible personal property
intangible personal propoerty
What are the forms of property co-ownership?
tenancy in common
joint tenancy
What are the 5 steps to developing an estate plan
determine how much you have
decide how you wish to distribute your assets
decide on how and when you would like to transfer the assets
execute your plan
review your plan and revise as necessary
What are the 2 forms of estate plans
will
trust
What are the key elements or proceedings of a will?
introduction
appointment of fiduciaries
disposition of properties
testimonium and attestation
What are the expenses incurred in transferring estate?
administrative expense
stamp duty
What is the purpose of tax policy for the government?
raise revenue
economic and social goals
attract foreign investment
