Certified Anti-Money Laundering Specialist Certification (CAMS) Practice Exam

What is another name for a Private Investment Company?

1. Personal Investment Corporation

2. International Business Company

3. Exempt Company

4. All of the above

The correct answer is: All of the above

A Private Investment Company can be referred to by various names, depending on the context and jurisdiction. These terms often highlight specific characteristics or operational structures associated with such companies. The term "Personal Investment Corporation" emphasizes the focus on individual investors who pool their resources to make private investments, suggesting a more personalized investment strategy or approach. On the other hand, "International Business Company" describes a type of entity commonly used in offshore jurisdictions that can also serve investment purposes. This name may apply to Private Investment Companies that engage in international investments or transactions. The term "Exempt Company" refers to entities that may benefit from certain regulatory exemptions, which is relevant in jurisdictions with specific laws governing investment companies, often providing more flexibility in operations. Since each of these terms can accurately describe a Private Investment Company under specific circumstances or regulatory frameworks, the option that includes "All of the above" effectively captures the various names that can be assigned to such entities. Thus, the correct answer reflects the broader terminology associated with Private Investment Companies.