Canadian Securities Course (CSC) Practice Exam

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Study for the Canadian Securities Course Exam with our comprehensive practice test. Explore flashcards and multiple-choice questions, each with detailed hints and explanations. Prepare for your CSC exam with confidence!

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What is the primary focus of a structured product?

Capital preservation
Short-term investments
High-risk ventures
Real estate acquisitions

The correct answer is: Capital preservation

A structured product is primarily focused on capital preservation, which refers to protecting an investor's initial capital investment by minimizing the risk of losing money. This goal is different from short-term investments, as structured products are designed for longer-term investments rather than quick gains or loss mitigation. While some structured products may involve high-risk ventures or real estate acquisitions, the main objective remains to preserve capital.