QIA case studies
QIA · Put your knowledge to work in context.
The Qualified Investment Adviser (QIA) is a professional certification for people who advise clients on investments and manage portfolios. Candidates typically come from advisory, private banking, wealth management, and asset management roles, and often hold a related qualification or a few years of practical experience before sitting it. The QIA case studies are 5 cases and about 2,186 words.
1The Discretionary Mandate Drift
A discretionary portfolio manager at a registered advisory firm manages a retired client's account under a mandate that specifies a 40-60% equity range and a maximum 20% allocation to a single sector. Over eight months the manager has built a 34% position in technology stocks, arguing that earnings momentum justifies the overweight.
411 words, about 2 min2The Suitability Question Behind the Yield
A 78-year-old client with a 600,000 portfolio, no pension beyond Social Security, and a stated need for 3,000 monthly income is pitched a 7.5% coupon perpetual subordinated bond issued by a mid-sized bank. The adviser notes the yield is far above the client's current 3.1% Treasury ladder and that "principal is safe because it's a bond." The bond is callable in two years, ranks below senior debt, and its coupon can be deferred under certain conditions.
443 words, about 2 min3The Valuation the Analyst Wants to Believe
An analyst is valuing a company for a buy recommendation. Her DCF uses a 9% WACC, 6% perpetual growth, and terminal-year margins 300bp above the company's ten-year average, justified by "operating leverage." The terminal value is 82% of enterprise value.
411 words, about 2 min4The Rebalancing That Wasn't
A client's IPS targets 60% equity / 40% bonds with a rebalancing band of ±5 percentage points. A strong equity run has pushed the portfolio to 69% equity.
473 words, about 2 min5The Tax-Driven Recommendation
A client in the 32% bracket holds a 200,000 position in a single stock with a 40,000 unrealized gain (basis 160,000). The adviser recommends an immediate sale to diversify, citing concentration risk.
448 words, about 2 min