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Freedo: The ideal solution you have long key stored on the system and secured it by the simpler password which is computationally hard to find it out (so it's using PKBF, it's random and let's say it's 12 characters which is usually 72 bits). So the keys may be encrypted with AES-128 or 256 and the key for AES is derived from password which takes e.g. 1-2s on your PC to compute.
Freedo: It's actually working slightly different, from the password is derived the key which encrypts another key from the store sometimes so it's like this:
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