View more on these topics

The Technical Quiz: 23 October

MM CPD Centre logo

To help you to keep up with the fundamentals of tax, retirement and financial planning, try answering these questions…

Question one

An investor in a structured product is typically exposed to counterparty risk with?

A) Product provider

B) Product provider and bond issuer

C) Product provider and investment bank

D) Product provider, bond issuer and derivatives counterparty

Question two

What does a call option on shares give its owner?

A) The obligation to buy a set quantity of the shares at a specified price for a given term

B) The right to buy a set quantity of the shares at a specified price for a given term

C) The obligation to sell a set quantity of the shares at a specified price for a given term

D) The right to sell a set quantity of the shares at a specified price for a given term

Question three

A UK life company realises a capital gain on an investment of £100,000 of £30,000. Inflation over the period of ownership was 10 per cent. What tax liability does the company have?

A) £3,600

B) £4,000

C) £5,400

D) £6,000

Question four

Is it preferable for inheritance tax purposes to hold business assets within a company or outside the company and owned by an individual?

A) Outside the company and personally owned

B) It makes no difference to the owner’s inheritance tax liability

C) Within the company as the business property relief is more beneficial

D) Outside the company and in joint names with a spouse

Scroll down for answers















1) D

2) B

3) B

4) C



BoE launches review into payments system failure

Bank of England governor Mark Carney has launched an independent review into a technical failure that meant no UK borrowers could access a mortgage for extended periods yesterday. A glitch in the real time gross settlement payment system, which allows money to be transferred between banks in real time to fund investment banking and consumer […]


Chris Hannant: Pension reforms bring major opportunities for advisers

Next April will bring significant change to the whole of retirement planning. It will also bring major opportunities for advisers.  The policy changes introduced by the Government on long-term care and pension flexibility identify advisers as part of the solution for the potentially confused consumer. Both reforms introduce complexity and the need for the individual […]


Scottish Widows extends initial commission on pension transfers

Initial commission on pension transfers will continue to be paid to advisers up until the April 2016 deadline, Scottish Widows confirms. In August, the provider said initial commission on pension schemes would be removed by November this year but now says, after testing it systems, that transfers will not be included in the ban. Following […]


TSC slams FSA for Co-op failings but clears Treasury

The Treasury select committee has cleared the Treasury of any inappropriate interference in the Co-op Bank deal to buy Lloyds Banking Group branches but has criticised the failures of the FSA, KPMG and the Co-op board. In a report into the Project Verde deal, published today, the TSC said there was “scarcely any evidence” of […]

Powerful estate planning tools ignored or forgotten by wealthy Brits

Canada Life IHT Survey 2016 Only a quarter of wealthy Brits have sought professional estate planning advice to ensure their families don’t pay more tax than required More than a quarter don’t even have a will and just one in five have gifted money Many say they do not need these tools but families would […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm