TRUE OR FALSE Q1. The maturity guarantees and reset options of segregated funds allow conservative investors to employ more aggressive asset allocations. _____

Q2. Insurance companies can offer a maximum guarantee of 75% of the original value on their segregated funds, after the investor holds the fund for a minimum of 10 years. ________

Q3. Yuen Si purchased a segregated fund 3 years ago when he was legally insolvent. He did not have to file for bankruptcy until this year. The bankruptcy trustee cannot seize the segregated fund to pay creditors, as it was purchased more than one year ago. _________

Q4. Segregated funds are treated as trusts for tax purposes, allowing the flow-through of distributions, the same as mutual funds. Distributions decrease the NAVPS for both segregated funds and mutual funds. Acquisition, redemption and/or switching fees increase the adjusted cost base of both types of funds. _________

Q5. Some hedge funds are aggressive investments. _________

Q6. Hedge funds are better investment products than mutual funds because they offer incentive fees to portfolio managers.________

Q.7.Hedge fund managers are expected to earn positive returns even if the market goes down. _________

Q8. All hedge funds are risky because they invest only in derivatives. __________

Q9. Hedge funds can be purchased and sold at any time. _________

Q10. Hedge funds are tax-efficient investment products._________