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IIA-CFSA · Question #109

IIA-CFSA Question #109: Real Exam Question with Answer & Explanation

The correct answer is C. The high watermarks method. See the full explanation below for the reasoning.

Question

An index method that credits index-linked interest based on any increase in index value from the index level at the beginning of the contract's term to the highest index value at various points during the contract's term is called:

Options

  • APoint to point method
  • BAnnual retuned
  • CThe high watermarks method
  • DThe low water mark method

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