A mutual fund representative meets with a young family whose net worth/level of wealth is...

Vendor: CSI
Product: IFC
Update on: Dec 16, 2025
Questions: 447

CSI IFC Question Answer

A mutual fund representative meets with a young family whose net worth/level of wealth is categorized as low, but they have the potential to become wealthy. In general, the family seems susceptible to believing that market events are predictable. Also, the family has a stronger impulse to avoid losses than earn gains. How might the mutual fund representative effectively address each of the two biases, respectively?

Moderate the first bias and adapt to the second.

Conform to the first bias and moderate the second.

Conform to both biases identified.

Moderate both biases identified.