All RE5 questions
Financial Products Apply knowledge of the financial products and services environment
Which product is a Tier 1 financial product, so that a representative advising on it must pass the RE5?
RE5 practice question with a worked answer. This is one of hundreds of FSCA RE5 questions in the RegulatoryExams question bank.
- a) A funeral policy.
- b) A friendly-society benefit.
- c) A retirement annuity.Correct
- d) A long-term insurance assistance policy.
Why this is the answer
A retirement annuity is a Tier 1 product — a more complex long-term investment carrying real advice risk — so advising on it requires the RE5. Funeral policies, friendly-society benefits and long-term insurance assistance policies are all Tier 2: simple, lower-risk products.
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