Series 6 Rapid-Fire Quiz – Product Suitability
- April 1, 2025
- Posted by: 'FINRA Exam Mastery'
- Category: Finance
⚡ Series 6 Rapid-Fire Quiz – Product Suitability
To pass the Series 6 exam, you must not only understand investment products — you need to know when each product is appropriate for a specific client profile. This rapid-fire quiz will sharpen your ability to connect products to investor needs, goals, and risk tolerance.
🧠 Question 1
A 30-year-old investor with a long time horizon and high risk tolerance is saving for retirement. Which product is most suitable?
A. Fixed annuity
B. Money market fund
C. Growth mutual fund
D. Corporate bond fund
✅ Correct Answer: C
Growth mutual funds offer capital appreciation over time and align with the investor’s risk profile and long-term goal.
🧠 Question 2
A retired investor on a fixed income wants stable monthly payments and minimal risk. Which product fits best?
A. Variable annuity
B. Equity income fund
C. U.S. Treasury bond fund
D. Municipal bond fund
✅ Correct Answer: D
Municipal bond funds offer tax-free income and are generally lower risk — ideal for retirees seeking steady payments.
🧠 Question 3
An investor with a moderate risk tolerance wants to diversify holdings and is concerned about short-term volatility.
A. Sector mutual fund
B. Balanced fund
C. Emerging markets fund
D. Leveraged ETF
✅ Correct Answer: B
Balanced funds combine stocks and bonds for diversification and reduced volatility — suitable for moderate investors.
🧠 Question 4
A client wants to invest for a child’s education and minimize taxes. Which is most appropriate?
A. Variable annuity
B. Coverdell ESA
C. 529 plan
D. Growth stock fund in a brokerage account
✅ Correct Answer: C
529 plans offer tax-free growth when used for qualified education expenses and have higher contribution limits than ESAs.
🧠 Question 5
An investor wants to preserve capital for a down payment in 12 months. Which product is most suitable?
A. Small-cap mutual fund
B. Variable annuity
C. Money market fund
D. Growth and income fund
✅ Correct Answer: C
Money market funds are low-risk and provide liquidity, making them ideal for short-term goals like saving for a down payment.
🚀 Ready to Master Product Suitability?
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