AAFM CWM_LEVEL_2 Exam - Topic 6 Question 101 Discussion

Actual exam question for AAFM's CWM_LEVEL_2 exam

Question #: 101
Topic #: 6

Section B (2 Mark)

Which of the following is an inferential data (i.e. data which may not be correctly obtained by simply asking a direct question)?

ATime Horizon

BRisk appetite

CCurrent Income

DFuture income requirement

Show Suggested Answer

Suggested Answer: B

by Pansy at Apr 30, 2025, 04:30 AM

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Melda

4 months ago

Totally agree, future income is tricky to pin down!

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Jade

4 months ago

Wait, how is current income not inferential?

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Keneth

5 months ago

Not sure about that, seems like a direct question could work.

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Carin

5 months ago

I think risk appetite fits that description too!

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Stefan

5 months ago

Future income requirement is definitely inferential.

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Regenia

5 months ago

I feel like risk appetite might be subjective and not directly measurable, but I’m not entirely confident about that.

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Laurena

6 months ago

I’m a bit confused; I thought current income was also inferential, but now I’m leaning towards future income requirement.

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Whitley

6 months ago

I remember practicing a question similar to this, and I think future income requirement could involve some inference since it’s not just about current data.

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Katie

6 months ago

I think inferential data is about making assumptions based on indirect information, but I'm not sure which option fits that best.

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France

6 months ago

I'm leaning towards D. Future income requirement seems like it would be difficult to obtain through a direct question, as people may not have a clear idea of their future needs.

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Reuben

6 months ago

I believe the correct answer is B. Risk appetite is something that can't be directly observed or asked about - it requires inference based on the client's behavior and responses.

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Rolande

7 months ago

Hmm, I'm not entirely confident about the difference between inferential and direct data. I'll need to think this through carefully.

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Aimee

7 months ago

This question seems straightforward, but I want to be sure I understand the concept of inferential data before selecting an answer.

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Felix

10 months ago

Definitely B) Risk appetite. That's the kind of thing you have to figure out through a series of questions, not just a simple direct ask.

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Iluminada

10 months ago

Haha, I'm going with C) Current Income. Everyone knows that's the one piece of information people are most likely to fudge on a survey!

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Lai

9 months ago

Yeah, it's definitely a tricky one to get accurate data on.

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Felicitas

9 months ago

I think you might be right, people tend to exaggerate their current income.

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Jenifer

10 months ago

D) Future income requirement seems like the obvious choice here. That's something people often have a hard time estimating accurately.

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Zack

9 months ago

D) Future income requirement is definitely an example of inferential data as it involves predicting future financial needs.

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Raylene

10 months ago

C) Current Income can be directly obtained by asking a person about their current salary.

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Ardella

10 months ago

B) Risk appetite is another example of inferential data as it involves assessing someone's willingness to take risks.

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Joana

10 months ago

A) Time Horizon is also an inferential data because it involves predicting future events.

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Corinne

10 months ago

I think the answer is C) Current Income because it can change over time and is not always accurately reported.

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Staci

11 months ago

I see your point, Ula. But I think it could also be A) Time Horizon as it involves predicting future events.

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Ula

11 months ago

I disagree, I believe it's B) Risk appetite because it's not directly observable.

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Audra

11 months ago

I think the answer is B) Risk appetite. That's something you can't just ask someone directly - you have to infer it based on their behavior and decision-making.

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