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CSI FP2 Exam Syllabus Topics:
| Section | Weight | Objectives |
|---|---|---|
| Savings Planning & Debt Management | 10% | - Savings vehicles and strategies - Debt management and repayment plans |
| Investment and Tax Planning | 10% | - Investment portfolio construction - Tax-efficient investing and income planning |
| Estate Planning | 10% | - Wills, trusts, and powers of attorney - Estate taxation and wealth transfer |
| Financial Planning Practice | 10% | - Financial plan development process - Client engagement and data gathering |
| Insurance Planning | 10% | - Property and liability risk management - Life, disability, and critical illness insurance |
| Retirement Planning | 20% | - Government and private retirement programs - Retirement income needs analysis - Retirement savings and withdrawal strategies |
| Family Law | 15% | - Marriage, cohabitation, and separation agreements - Support obligations and asset division |
| Financial Planning for Small Business | 15% | - Succession planning and exit strategies - Business structure and financial considerations |
CSI Financial Planning II (FPII) Sample Questions:
Which term describes an attempt to create a tax system that gives no preference to the form of ownership?
- A. Equalization.
- B. Graduated rates.
- C. Equilibrium.
- D. Integration.
Correct Answer: D 🗳️
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What is the name of the individual who is responsible for making decisions based on a power of attorney?
- A. Donee.
- B. Donor.
- C. Testator.
- D. Settlor.
Correct Answer: A 🗳️
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Roy gifted his nephew Charles, age 16, shares for his birthday. The managed portfolio will generate both dividends, and capital gains and losses. What will be Roy's future tax implications, with respect to this transfer, until Charles reaches the age of majority?
- A. Capital gains are attributed to Roy.
- B. Capital losses are attributed to Roy.
- C. Dividend income is attributed to Roy.
- D. No gains, losses or income are attributed to Roy.
Correct Answer: C 🗳️
What is the primary difference between a Life Income Fund (LIF) and a Registered Retirement Income Fund (RRIF)?
- A. Plan holders of either type must make minimum withdrawals each year, but there is also a maximum annual amount LIF holders may withdraw.
- B. Minimum LIF payments are fully taxable as income for the year in which they are received but minimum RRIF payments are not taxable.
- C. RRIFs may be purchased with a registered retirement savings plan, another RRIF or pension funds that are not locked-in, but a LIF can only be purchased with funds from a retirement compensation arrangement.
- D. All plan holders must purchase a life annuity in the year they reach 80 with the balance of funds remaining in the LIF.
Correct Answer: A 🗳️
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Fatima would like to make a prepayment on her mortgage and her bank advises her that she has a closed mortgage so there will be a penalty, using the three months interest formula. Calculate the penalty, assuming that Fatima's mortgage rate is 5% with 36 months remaining and there is $250,000 balance outstanding on the mortgage.
- A. $1,042.
- B. $3,125.
- C. $7,493.
- D. $4,167.
Correct Answer: B 🗳️
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