41. What is the purpose of a credit card?
a. Providing loans to individuals and businesses
b. Offering insurance coverage for credit transactions
c. Facilitating electronic payments and credit purchases
d. Regulating interest rates in the banking sector
42. Which regulatory body is responsible for overseeing the insurance industry in the United Kingdom?
a. Bank of England (BoE)
b. Financial Conduct Authority (FCA)
c. Prudential Regulation Authority (PRA)
d. HM Treasury
43. What is the function of a custodian bank?
a. Granting loans to individuals and businesses
b. Providing insurance coverage for investment portfolios
c. Safeguarding and holding financial assets on behalf of clients
d. Regulating the activities of commercial banks
44. Which of the following is a characteristic of a bear market?
a. Rising stock prices and increased investor confidence
b. Declining stock prices and pessimistic investor sentiment
c. High inflation and increased purchasing power
d. Low interest rates and economic expansion
45. What is the purpose of the Financial Services Compensation Scheme (FSCS)?
a. Regulating the activities of insurance companies
b. Insuring bank deposits up to a certain limit in case of bank failures
c. Promoting financial literacy among consumers
d. Monitoring and addressing risks to the stability of the financial system
