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CSI FP2 Exam Syllabus Topics:
| Section | Weight | Objectives |
| Topic 1: Family Law | 15% | - Fundamental Aspects of Family Law
- 1. Spousal Support and Child Support
- 2. Marriage, Cohabitation, Separation and Divorce
- 3. Custody and Access
- Financial and Property Issues
- 1. Disclosure Requirements and Financial Obligations
- 2. Property Division on Relationship Breakdown
- 3. Impact of Divorce on Financial Planning
- 4. Domestic Contracts
|
| Topic 2: Financial Planning for Small Business | 15% | - Small Business Financial Planning
- 1. Business Structures and Entity Selection
- 2. Business Succession and Estate Freezes
- 3. Business Taxation
- 4. Business Valuation and Employment Law
- Business Law and Agency Relationships
- 1. Contract Formation and Types of Contracts
- 2. Contract Termination and Discharge
- 3. Agency Relationships
|
| Topic 3: Insurance Planning | 10% | - General Insurance
- 1. Liability and Professional Liability Insurance
- 2. Homeowners and Automobile Insurance
- Life Insurance
- 1. Insurance Contract Provisions, Riders and Taxation
- 2. Life Insurance Needs Analysis
- 3. Personal and Business Applications of Life Insurance
- Disability and Health Insurance
- 1. Extended Health, Travel and Group Insurance
- 2. Critical Illness and Long-Term Care Insurance
- 3. Disability Income Insurance
- 4. Government Disability Benefits and Workers' Compensation
|
| Topic 4: Retirement Planning | 20% | - Retirement Income Needs Analysis
- 1. Estimating Retirement Income Requirements
- 2. Old Age Security and Guaranteed Income Supplement
- 3. Managing Retirement Income Shortfalls
- 4. Canada Pension Plan and Quebec Pension Plan
- Registered Pension and Retirement Income Plans
- 1. Registered Retirement Income Funds and Life Income Funds
- 2. Annuities and Retirement Income Products
- 3. Registered Pension Plans and Deferred Profit Sharing Plans
- 4. Registered Retirement Savings Plans
- 5. Individual Pension Plans and Executive Retirement Arrangements
|
| Topic 5: Financial Planning Practice | 10% | - The Personal Financial Planning Process in Canada
- 1. Identifying Client Goals and Risk Profiles
- 2. Ethics and Financial Advisors
- 3. The Financial Planning Business Today
- 4. The Six Steps of the Financial Planning Process
- 5. Client Responsibilities and Professional Standards
|
| Topic 6: Estate Planning | 10% | - Trusts and Powers of Attorney
- 1. Incapacity Planning and Substitute Decision-Making
- 2. Types of Trusts and Trust Establishment
- 3. Taxation of Trusts
- 4. Powers of Attorney for Personal Care and Property
- Estate Distribution and Tax Planning
- 1. Estate Planning for Individuals, Families and Business Owners
- 2. Probate Fee and Estate Administration Cost Reduction
- 3. Will Preparation and Probate
- 4. Minimizing or Deferring Taxes at Death
|
| Topic 7: Investment and Tax Planning | 10% | - Tax Planning Strategies
- 1. Tax Shelters and Tax-Efficient Strategies
- 2. Taxation of Business Structures
- 3. RESPs, RDSPs, TFSAs and In-Trust Accounts
- 4. Income Deferral and Income Splitting
- Investment Management
- 1. Modern Portfolio Theory and Asset Allocation
- 2. Investment Selection and Risk Management
- 3. Portfolio Performance Measurement and Benchmarking
|
| Topic 8: Savings Planning and Debt Management | 10% | - Debt Planning and Mortgages
- 1. Lease-versus-Buy Decisions and Borrowing to Invest
- 2. Debt Refinancing and Debt Service Ratios
- 3. Consumer Credit and Debt Management
- 4. Mortgage Planning and Real Estate Ownership
- Net Worth and Cash Management Planning
- 1. Net Worth and Cash Flow Analysis
- 2. Budgeting and Savings Strategies
- 3. Emergency Funding
|
CSI Financial Planning II (FPII) Sample Questions:
What is the primary difference between a Life Income Fund (LIF) and a Registered Retirement Income Fund (RRIF)?
- A. Minimum LIF payments are fully taxable as income for the year in which they are received but minimum RRIF payments are not taxable.
- B. Plan holders of either type must make minimum withdrawals each year, but there is also a maximum annual amount LIF holders may withdraw.
- 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.
Reveal Solution
Discussion
Correct Answer: B 🗳️
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The Spousal Support Advisory Guidelines are not intended to apply under which circumstance?
- A. For unmarried couples.
- B. For married couples.
- C. For annual incomes greater than $350,000.
- D. For annual incomes less than $50,000.
Reveal Solution
Discussion
Correct Answer: C 🗳️
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Maxwell is filing a rights or things tax return for his deceased mother. She had the following sources of income:
Debenture interest coupons.
Unpaid dividends declared before her death.
Old age security that was due before her death.
Income from a registered retirement savings plan (RRSP).
Which form of income will Maxwell have to exclude from the rights or things tax return?
- A. Old age security that was due before her death.
- B. Unpaid dividends declared before her death.
- C. Debenture interest coupons.
- D. Income from an RRSP.
Reveal Solution
Discussion
Correct Answer: D 🗳️
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Paul has recently been promoted at work, and is looking to pay down his debts. Paul has the following obligations:
Type
Interest rate (%)
Amortization (years)
Mortgage
3.95
22
Registered Retirement Savings Plan (RRSP) line of credit
6.00
N/A
Consolidation loan
8.95
3
Credit card
15.00
N/A
Which debt should Paul pay down last?
- A. Mortgage.
- B. Credit card.
- C. Consolidation loan.
- D. RRSP line of credit.
Reveal Solution
Discussion
Correct Answer: A 🗳️
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Firm YHZ is looking to hire an analyst that specializes in fundamental analysis and have been presented with the following candidates:
Analyst
Specialty/Evaluation Method
Annabelle
Analyzing investor behaviours
Boris
Studying past stock prices and volumes
Charles
Estimating stock value using economic factors
Dakota
Examining stock charts and identifying patterns and trends
Who will firm YHZ likely hire for this purpose?
- A. Charles.
- B. Boris.
- C. Dakota.
- D. Annabelle.
Reveal Solution
Discussion
Correct Answer: A 🗳️
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