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CIRO RSE Exam Syllabus Topics:
| Section | Weight | Objectives |
|---|---|---|
| Topic 1: Portfolio Construction | Approximately 10.8% | - Portfolio risk management - Asset allocation - Diversification |
| Topic 2: Securities Analysis | Approximately 11.7% | - Fundamental analysis - Financial statement interpretation - Technical analysis |
| Topic 3: Know-Your-Client (KYC) and Suitability | Approximately 22.5% | - Suitability assessment - Know-Your-Product (KYP) - Regulatory obligations - Investment objectives and risk tolerance - Client profile collection and maintenance |
| Topic 4: Fixed Income | Approximately 8.3% | - Credit risk - Yield and pricing - Government and corporate bonds - Interest rate risk |
| Topic 5: Investment Recommendations | Approximately 11.7% | - Product selection - Client communication - Recommendation development |
| Topic 6: Equities | Approximately 10% | - Valuation concepts - Equity markets - Common and preferred shares |
| Topic 7: Managed Products and Other Investments | Approximately 13.3% | - Alternative investments - Exchange-traded funds (ETFs) - Mutual funds - Structured products |
| Topic 8: Monitoring, Reporting and Maintaining Client Relationships | Approximately 5.8% | - Account monitoring - Client relationship management - Performance reporting - Ongoing suitability review |
| Topic 9: Execution and Market Integrity | Approximately 5.8% | - Best execution - Market integrity rules - Order handling |
CIRO Retail Securities Sample Questions:
1. An investor contacts a Registered Representative (RR) to purchase a speculative stock that does not align with the investor's low-risk tolerance. What is the RR's primary obligation?
A) Execute the order immediately, because client instructions take priority
B) Adjust the investor's know-your-client (KYC) profile to justify executing the order
C) Inform the investor that the order will not be executed because it is unsuitable
D) Explain the risks, document the discussion, and mark the order as unsolicited
2. A client contributes a large amount to a managed portfolio shortly before a period of strong market performance. Which return measure is generally more appropriate for evaluating the Portfolio Manager's investment performance independently of the client's contribution timing?
A) Time-weighted rate of return
B) Dividend payout ratio
C) Current yield
D) Money-weighted rate of return
3. Which managed product allows investors to gain intraday diversified exposure with active or passive management?
A) Mutual funds
B) Exchange-traded funds (ETFs)
C) Pooled funds
D) Income trusts
4. A client wants to buy a recreational vehicle costing $25,000 in 3 years. They plan to make deposits of $630 at the start of each month into an investment account. What approximate annualised return is required to achieve their goal?
A) 6%
B) 4%
C) 8%
D) 10%
5. A pension portfolio must fund a known liability in seven years. The manager wants to reduce the effect that interest-rate changes could have on the portfolio's ability to meet that liability. Which fixed-income technique is most appropriate?
A) Immunization
B) Growth investing
C) Market timing
D) Sector concentration
Solutions:
| Question # 1 Answer: D | Question # 2 Answer: A | Question # 3 Answer: B | Question # 4 Answer: A | Question # 5 Answer: A |






