Use this syllabus as your checklist for WME Exam 1 (knowledge-focused multiple-choice).
What’s covered
Getting to Know the Client and Assessing their Financial Situation (19%)
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Chapter 1 - Wealth Management Today
- Define wealth management and describe its role in Canada’s financial services landscape.
- Identify common wealth management services offered to clients (planning, investment, banking, insurance coordination).
- Describe key trends shaping the future of wealth management (technology, demographics, regulation, product innovation).
- Identify the regulatory environment’s high-level impact on advisor conduct and client relationships.
- Describe competencies of successful wealth advisors (technical knowledge, communication, judgement, process discipline).
- Describe the steps in the wealth management process from discovery through monitoring.
- Identify when to involve specialists and describe the value of coordinated advice.
- Recognize how a team-of-specialists model reduces client risk and improves plan quality.
Chapter 2 - Ethics and Wealth Management
- Define ethics in the financial services industry and explain why it matters in wealth advice.
- Identify common types of ethical dilemmas faced by advisors (conflicts, pressure, confidentiality, suitability).
- Describe a structured approach to resolving ethical dilemmas (facts, stakeholders, rules, options, consequences).
- Identify elements typically found in a code of ethics and expected advisor behaviours.
- Describe trust, agency, and fiduciary duty concepts at a high level.
- Recognize how conflicts of interest can impair objectivity and client outcomes.
- Identify potential consequences when an advisor ignores ethics (client harm, sanctions, reputational loss).
- Recognize documentation and disclosure as practical tools for ethical decision making.
Chapter 3 - Getting to Know the Client
- Identify information required by regulation and law during client discovery (KYC essentials).
- Describe how going beyond the regulatory minimum improves suitability and planning outcomes.
- Describe the steps in the client discovery process (goals, constraints, facts, analysis, recommendations).
- Identify key questions used to clarify objectives, time horizon, liquidity needs, and risk profile.
- Recognize common discovery gaps that create unsuitable recommendations (missing cash flow, vague objectives, stale KYC).
- Identify documentation that supports discovery and advice (notes, forms, client confirmations).
- Describe how to summarize discovery into a clear client profile and priorities.
- Recognize when client circumstances trigger an update to discovery and suitability.
Chapter 4 - Assessing the Client's Financial Situation
- Describe the purpose and components of personal financial statements (net worth statement and cash flow statement).
- Calculate net worth and basic cash flow from client-provided assets, liabilities, income, and expenses.
- Identify indicators of financial strength/strain (liquidity, leverage, debt service capacity) at a basic level.
- Describe how a savings plan links goals, time horizon, and required contributions.
- Calculate future value and present value using time value of money concepts (conceptual inputs).
- Recognize how compounding frequency and time horizon affect growth of savings.
- Identify how inflation affects real purchasing power in long-term planning.
- Recognize how cash flow constraints and debt obligations influence suitability and recommendations.
Chapter 5 - Consumer Lending and Mortgages
- Describe credit planning and how borrowing fits within a client’s overall financial plan.
- Identify core features of residential mortgages (principal, interest, amortization, term, rate type).
- Describe key financial factors to consider when purchasing a home (down payment, affordability, closing costs, buffers).
- Calculate a basic mortgage payment or interest cost from simplified inputs (conceptual math).
- Identify methods of reducing interest costs and penalties (prepayment options, term selection, refinancing considerations).
- Recognize trade-offs between fixed and variable rates and between shorter and longer terms (conceptual).
- Describe related mortgage topics that affect planning (HELOCs, refinancing, insurance, renewal).
- Recognize common mortgage-related planning issues (liquidity risk, leverage risk, concentration in housing).
Family Law, Risk Management and Tax Planning (16%)
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Chapter 6 - Legal Aspects of Family Dynamics
- Identify family-related issues that can affect a client’s financial plan (dependents, caregiving, separation, remarriage).
- Describe fundamental aspects of family law relevant to wealth management discussions (conceptual).
- Identify domestic contracts and describe their purpose in clarifying financial rights and obligations.
- Describe property issues on relationship breakdown and how they can change net worth and cash flow.
- Recognize how divorce can impact retirement plans, insurance needs, and estate planning.
- Identify planning actions often triggered by major family changes (beneficiaries, wills, coverage, budgets).
- Recognize when to involve legal professionals and document client decisions in family-related cases.
- Describe how support obligations and shared parenting costs can affect goal feasibility.
Chapter 7 - Personal Risk Management Process
- Describe strategic wealth preservation and why risk management is part of holistic planning.
- Identify types of risk relevant to wealth management (mortality, disability, liability, property, longevity).
- Describe how risk can be measured using frequency, severity, and probability concepts.
- Identify risk exposures within a client’s net worth, cash flow, and human capital.
- Describe the family life cycle and how risk priorities evolve over time.
- Describe the steps in the personal risk management process (identify, measure, choose technique, implement, review).
- Recognize how insurance and diversification can be used as risk mitigation tools.
- Identify how risk management interacts with taxation, retirement, and estate planning.
Chapter 8 - Understanding Tax Returns
- Describe the relationship between financial planning and taxation (after-tax outcomes).
- Identify key information in personal income tax returns used in planning discussions.
- Describe taxation of investment income types (interest, dividends, capital gains) at a high level.
- Identify taxable versus non-taxable employee benefits and why classification matters.
- Recognize how marginal tax rate and tax brackets influence planning decisions.
- Describe how deductions and credits affect taxable income and tax payable (conceptual).
- Identify common tax slips and records used to support tax-return analysis (conceptual).
- Recognize the importance of accurate tax data for suitability, cash flow planning, and goal setting.
Chapter 9 - Tax Reduction Strategies
- Identify techniques to minimize taxes (deferral, deductions, credits, splitting, and tax-efficient investing) at a high level.
- Describe Tax-Free Savings Accounts (TFSAs) and their role in wealth management.
- Identify TFSA contribution and withdrawal concepts and how they affect planning.
- Describe registered plans used for non-retirement goals (e.g., education and disability) at a high level.
- Recognize how incorporation can change tax outcomes and planning flexibility (conceptual).
- Identify trade-offs between tax-free, tax-deferred, and taxable investing in different client situations.
- Describe how asset location and distribution type influence after-tax returns (conceptual).
- Recognize common tax traps in planning (withholding, attribution, timing of gains/losses) conceptually.
Retirement Planning (17%)
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Chapter 10 - Registered Retirement Savings Plans
- Describe how clients prepare to fund retirement and the role of systematic saving.
- Define Registered Retirement Savings Plans (RRSPs) and their core benefits.
- Identify RRSP contribution rule concepts (room, deductions, carry-forward) at a high level.
- Describe management of RRSP accounts (investment choices, spousal plans, beneficiary designations) conceptually.
- Recognize what clients should know about RRSP withdrawals and tax implications (conceptual).
- Identify the purpose of converting RRSP assets to retirement income arrangements (conceptual).
- Calculate simple retirement-savings growth using time value of money concepts (conceptual inputs).
- Recognize suitability considerations when recommending RRSP contributions versus other saving vehicles (conceptual).
- Describe employer-sponsored pension plans and their role in retirement funding.
- Identify key differences between defined benefit and defined contribution plans at a high level.
- Recognize how employer plans interact with personal savings plans in retirement projections.
- Describe common pension plan features that affect planning (contributions, vesting, portability) conceptually.
- Identify factors that influence a client’s retirement funding gap (income needs, timeline, returns, inflation).
- Recognize trade-offs between paying down debt and contributing to retirement savings (conceptual).
- Describe funding sources commonly used for retirement beyond pensions (registered, non-registered, TFSA) conceptually.
- Recognize documentation needs when summarizing pension benefits and assumptions in a plan.
Chapter 12 - Government Pensions Programs
- Describe Canada and Quebec Pension Plans (CPP/QPP) at a high level and their role in retirement income.
- Describe the Old Age Security (OAS) program at a high level and its role in retirement income.
- Identify eligibility and timing concepts for government pensions (conceptual).
- Recognize how benefit start timing can affect lifetime retirement income (conceptual).
- Identify how government pensions integrate with employer pensions and personal savings in planning.
- Recognize OAS income-tested features (conceptual) and how higher income can affect benefits.
- Describe survivor and disability-related features of government pensions at a high level (conceptual).
- Recognize the importance of accurate assumptions when including government benefits in retirement projections.
Chapter 13 - Retirement Planning Process
- Describe the retirement planning process and why it is iterative.
- Identify the inputs required for a retirement income needs analysis (spending, income sources, horizon, assumptions).
- Describe how to estimate retirement income needs and identify gaps at a high level.
- Identify tax-minimization strategies used in retirement planning (withdrawal sequencing, account selection) conceptually.
- Recognize questions to consider when advising clients (goals, lifestyle, health, dependents, risk).
- Calculate a simple required retirement capital figure using time value of money concepts (conceptual).
- Recognize the impact of longevity, inflation, and market variability on retirement feasibility.
- Identify triggers that require updating a retirement plan (life changes, market changes, policy changes).
Chapter 14 - Protecting Retirement Income
- Define annuities and describe how they convert capital into income.
- Identify types of annuities and distinguish common features at a high level.
- Describe segregated funds and recognize their core guarantee concepts at a high level.
- Describe Guaranteed Minimum Withdrawal Benefit (GMWB) contracts and recognize the purpose of the guarantees.
- Identify trade-offs between guarantees, liquidity, and fees in retirement income products.
- Recognize suitability considerations for protected-income solutions (horizon, risk tolerance, need for guarantees).
- Identify key client-facing disclosure points for annuities and guaranteed products (costs, limits, conditions).
- Describe how protected-income products can mitigate longevity and sequence-of-returns risk (conceptual).
Estate Planning (8%)
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Chapter 15 - Wills and Powers of Attorney
- Describe how an estate is passed on and why a will is foundational.
- Identify key factors to consider when making a will (beneficiaries, executors, guardianship) conceptually.
- Describe probate procedures at a high level and why probate matters in estate administration.
- Define powers of attorney and living wills (advance health care directives) at a high level.
- Identify situations where a power of attorney is important for client protection and continuity.
- Recognize considerations when dealing with vulnerable clients (capacity, undue influence, documentation, escalation).
- Identify common estate-transfer tools that interact with wills (beneficiary designations, joint ownership) conceptually.
- Recognize the importance of updating estate documents after major life events.
Chapter 16 - Estate Planning Strategies
- Define trusts and describe common uses in estate planning (control, protection, tax) conceptually.
- Identify estate-planning taxation considerations at a high level (deemed dispositions, tax liabilities, planning timing).
- Describe general issues to consider for estate planning (liquidity needs, fairness, succession, special needs).
- Recognize how insurance can be used to provide liquidity and fund estate obligations (conceptual).
- Identify how beneficiary designations and ownership structures affect estate outcomes (conceptual).
- Describe how to coordinate wills, powers of attorney, and account registrations in an estate plan (conceptual).
- Recognize when to refer clients to legal/tax specialists for trusts and complex estate planning.
- Identify common estate planning pitfalls (outdated documents, conflicting designations, liquidity shortfalls) conceptually.
Investment Management and Asset Allocation (12%)
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Chapter 17 - Investment Management Today
- Describe fintech trends and how they affect wealth management service delivery.
- Identify characteristics of robo-advisory services and typical client use cases.
- Recognize limitations and risks of robo-advisory services (assumptions, suitability, behavioural factors) conceptually.
- Describe smart beta ETFs and how they differ from traditional passive and active approaches (conceptual).
- Describe responsible investment and common approaches (screening, integration, stewardship) at a high level.
- Recognize key due diligence questions when evaluating fintech tools and models (fees, methodology, governance) conceptually.
- Identify how technology can influence client communication, onboarding, and recordkeeping expectations.
- Recognize suitability considerations when implementing smart beta or responsible investing strategies.
Chapter 18 - Investment Management
- Describe steps in the portfolio management process from objective setting through monitoring.
- Identify trade-offs between using individual securities and managed products for implementation.
- Describe portfolio theory concepts at a basic level (diversification, efficient frontier, risk/return trade-off).
- Recognize how correlation and diversification affect portfolio risk.
- Describe international investing benefits and risks at a high level (diversification, currency, geopolitical).
- Identify common constraints that shape portfolio design (liquidity, horizon, taxes, concentration) conceptually.
- Recognize the difference between strategic design decisions and ongoing tactical adjustments (conceptual).
- Identify common portfolio risk measures used in practice (volatility, beta) at a high level.
Chapter 19 - Asset Allocation
- Describe the asset allocation process and why it is a primary driver of portfolio outcomes.
- Identify issues in asset allocation (risk profile, horizon, liquidity, taxes, behavioural constraints).
- Describe strategic asset allocation and its role in long-term planning.
- Describe tactical asset allocation and recognize when it may be used (conceptual).
- Recognize the purpose of rebalancing and common approaches to rebalancing (time-based vs threshold) conceptually.
- Identify how asset allocation choices affect expected return and risk.
- Recognize diversification benefits across asset classes and within asset classes.
- Identify triggers that prompt an allocation review (goal changes, drift, risk capacity changes).
Equity and Debt Securities (14%)
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Chapter 20 - Equity Securities
- Describe characteristics of equity securities (ownership, voting, dividends, residual claim).
- Identify equity markets and common trading venues at a high level.
- Describe the purpose of equity analysis and common categories (fundamental vs technical).
- Describe industry analysis and why industry dynamics affect equity valuation.
- Describe company analysis and recognize common valuation inputs (earnings, cash flow, growth) conceptually.
- Recognize technical analysis concepts and common use cases at a high level.
- Identify equity strategy approaches (growth/value, income, defensive) conceptually.
- Recognize key risks of equity investing and how they influence suitability.
Chapter 21 - Debt Securities: Characteristics, Risks, Trading, and Yield Curves
- Describe characteristics of debt securities (coupon, maturity, issuer promise) at a high level.
- Identify types of debt securities (government, corporate, structured) conceptually.
- Describe risks of debt securities (interest rate, credit, liquidity, reinvestment) at a high level.
- Describe debt market trading mechanics (OTC structure, pricing, spreads) conceptually.
- Describe the term structure of interest rates and recognize common yield curve shapes.
- Recognize the inverse relationship between bond prices and yields.
- Calculate simple yield measures (e.g., current yield) from simplified inputs (conceptual).
- Recognize how duration relates to interest-rate sensitivity at a high level.
Chapter 22 - Debt Securities: Pricing, Volatility and Strategies
- Describe bond market pricing concepts (present value of cash flows) at a high level.
- Identify factors that drive bond price volatility (maturity, coupon, yield changes) conceptually.
- Recognize how interest rate changes affect bond price volatility and portfolio risk.
- Describe the purpose of duration measures and how they are used in risk discussions (conceptual).
- Identify common debt security strategies (laddering, barbells, immunization concepts) at a high level.
- Recognize trade-offs between yield, credit risk, and interest-rate risk in fixed income positioning.
- Describe how callable features and reinvestment risk affect bond strategy choices (conceptual).
- Identify how fixed income strategy can be matched to client objectives (income vs stability) conceptually.
Managed Products, Portfolio Monitoring and Evaluation (14%)
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Chapter 23 - Managed Products
- Describe the role of managed products in investment management and client implementation.
- Identify key features of mutual funds relevant to client discussions (structure, pricing, series) at a high level.
- Describe wrap products and recognize typical use cases (bundled advice, fee-based) conceptually.
- Describe exchange-traded funds (ETFs) and recognize key differences versus mutual funds (trading, pricing) conceptually.
- Describe hedge funds at a high level and recognize common risk/return considerations.
- Recognize how fees, portfolio turnover, and taxes can materially affect long-term returns.
- Describe overlay management conceptually and its purpose within portfolios.
- Describe outcome-based investments and recognize how outcomes, constraints, and limits are communicated to clients.
- Describe portfolio monitoring and why monitoring is essential for suitability and goal tracking.
- Identify common triggers for portfolio reviews (client changes, drift, market events, withdrawals).
- Describe basic performance evaluation measures (holding period return, annualized return) at a high level.
- Calculate a simple holding period return from beginning value, ending value, and income.
- Recognize the importance of benchmarks and comparable time periods in performance evaluation.
- Identify common reasons portfolios underperform (fees, allocation drift, behaviour, market conditions) conceptually.
- Describe the difference between monitoring (process) and evaluation (measurement) conceptually.
- Recognize how monitoring results inform rebalancing and client communications.
Sources: https://www.csi.ca/en/learning/courses/wme/curriculum and https://www.csi.ca/en/learning/courses/wme/exam-credits