Preview Questions Relationship Manager | Role Specific Skill

Question 1: In a portfolio of stocks and bonds, what is the key benefit of asset allocation within a financial product offering?

Which action should you take?

Choose only one option

Risk diversification and balancing return expectations

Lowering bond yields for better liquidity

Increasing volatility for higher returns

Maximizing returns through stock picking

Question 2: How should a relationship manager address a client's concerns about data security regarding their financial information?

Which action should you take?

Choose only one option

Suggest the client use third-party security measures

Explain the bank's security protocols and provide detailed information

Redirect them to the IT department for more information

Assure them their data is safe and do nothing further

Question 3: In the context of portfolio construction, asset allocation primarily impacts which of the following?

Which action should you take?

Choose only one option

The overall risk and return profile of the portfolio

The liquidity of individual securities

The tax efficiency of the portfolio

The correlation between assets in the portfolio

Question 4: What's the most effective way to negotiate fees with a client in BFSI who is focused on reducing costs but also needs high-quality services?

Which action should you take?

Choose only one option

Offer tiered pricing with flexible packages based on their needs and goals

Insist on the premium pricing, emphasizing value over cost

Agree to cut fees significantly, compromising service quality

Offer a blanket discount across all services

Question 5: What is the best way to handle confidential client information while building a strong relationship?

Which action should you take?

Choose only one option

Share client information openly with the team to get more input

Ignore security measures if clients are satisfied

Use client data for marketing purposes without explicit consent

Ensure all client information is stored securely and only shared with authorized personnel

Question 6: In the context of negotiating an agreement for a long-term partnership with a financial institution, what is the best way to ensure that both parties are satisfied?

Which action should you take?

Choose only one option

Ensure transparency, open communication, and flexibility in the terms to meet both sides' expectations

Offer fixed terms with no room for flexibility

Focus only on the immediate benefits without considering future requirements

Push for the best possible terms for your institution, regardless of the other party's needs