51. What is the purpose of an annuity in the insurance sector?
a. Providing coverage for long-term care expenses
b. Offering insurance coverage for real estate properties
c. Generating passive income through regular payments over a specified period
d. Regulating the activities of insurance agents
52. What is the primary objective of a mutual fund?
a. Providing insurance coverage for investment portfolios
b. Speculating on the price movements of stocks and derivatives
c. Generating capital gains through active management of a portfolio of securities
d. Regulating interest rates in the banking sector
53. Which of the following is a characteristic of a bull market?
a. Declining stock prices and pessimistic investor sentiment
b. Rising stock prices and increased investor confidence
c. Low inflation and decreased purchasing power
d. High interest rates and economic contraction
54. What is the role of a reinsurance company?
a. Providing loans to individuals and businesses
b. Offering insurance coverage for credit card transactions
c. Insuring insurance companies against catastrophic losses
d. Regulating the activities of commercial banks
55. Which regulatory body is responsible for overseeing the insurance industry in the United States?
a. Federal Reserve System (Fed)
b. Securities and Exchange Commission (SEC)
c. National Credit Union Administration (NCUA)
d. National Association of Insurance Commissioners (NAIC)
