NISM va mock test with answers

Which of the following Statements is True about a Liquid Fund

Arrange the following Hybrid schemes in increasing order of risk, i.e., starting from Lowest risk to Highest Risk.

a) Balance Hybrid fund b) Aggressive Hybrid Fund c) Conservative Balance Fund

The performance of the Gold-ETF depends on the increase and decrease in the gold market price.

Change in the Fund Manager of a Mutual Fund will have ______________ impact on its performance

Mutual Fund performance should be compared with ____________.

Exchange Traded Funds (traded on exchanges) are passive funds that generate returns more than their benchmark index.

Mutual Fund Age is an important factor in selecting the Mutual Fund Scheme because

___________________ is calculated as Value of Purchase and Sale of Securities during a period divided by the average size of net assets of the scheme during the period.

How many types of Risk Levels are there in "Riskometer" of Mutual Fund Scheme

Diversified funds are less risky as compared to sector funds because

  (a)Banking and PSU fund  (b) Gilt fund  (c) Credit risk fund

(d) Corporate bond fund

Arrange the above Debt  funds in the increasing order of their Credit risk ( i.e. Safest to Risky )

 Arrange the given MFs  in increasing order of  Investment Risk

(a) Debt fund (b) Equity Fund  (c) Liquid funds (d) Hybrid funds

The satellite portfolio is created for achieving _________ Goals.

Which of the following ratios best measures the performance of a Mutual Fund Manager?

All Mutual Fund Schemes' performance is  available on _______ website:

Mutual Fund Schemes must publish a Factsheet monthly. This statement is true or false.

The difference between an index fund’s return and the actual return of the index is the

Formula for calculating Treynor Ratio is

Sharpe Ratio = (Rs minus Rf) ÷ Standard Deviation.  Where Rs is for

Sharpe ratio is a very commonly used to measure

Liquid schemes invest in securities of up to _______ days’ maturity.

The gap between the returns of PRI and TRI is the amount of __________.

Which document must mention the benchmark, the Mutual Fund Scheme is following

Systematic risk can be reduced through diversification. State whether True or False
False.

If the ________ ratio of a Mutual Fund Scheme is 1 ( One ), it indicates that the volatility of the MF portfolio is the same as that of the Market.

A high ____________  indicates greater volatility in the returns and greater risk.

The fluctuation in periodic returns of a scheme, as compared to its average return, is called

What is the full form of CAGR

Investment Style in which investors invest in stocks that are currently undervalued in the market as compared to their real value. This type of investment style is called.

Growth stocks have

If the Company’s PEG ratio is one ( 1 ), then it indicates that the market value of share

A common view among investors is that a low P/E Ratio indicates that a company's shares are available at a cheap rate and therefore it should be bought.

The formula for  Earnings per Share (EPS) is

Fundamental Analysis is for long-term investment, and Technical Analysis is for short-term investment and goals. The above statement is

In Technical Analysis of the firm, Investors study

Fundamental analysis of the firm means

Which of the following are Specific Risk factors

Investing in which stocks are the most risky for investment

Which of the following is not a General Risk factor

A Consolidated Account Statement (CAS) for each calendar month is sent by post/email to the investor as per the timeline specified by _________ from time to time.

Information about the Minimum amount to invest in a Mutual fund scheme is mentioned in

Cut of time for NAV of Equity and Debt Mutual Fund is

Requirement of PAN cards is exempted for some micro (Small) investors whose investment in MF is less than __________ in the Financial Year.

By using "SIP Top-up Facility" in Mutual Fund Schemes,

What does the term "Transmission of Units" mean?

What is the fullform of STP ?

Foreign nationals can invest in Indian mutual funds as

In MF Schemes, the regular plan has a higher Expense Ratio as compared to the direct plan?

For the first time, Mutual Fund Schemes Units are offered to investors via ________.

Which of the following statements about Securities Transaction Tax (STT) is true?

Long-term capital gains tax on Equity Oriented scheme is _______ .

Short-term capital gains tax on Equity Oriented scheme is _______.

Long-term capital loss in MF can  be set off against long-term capital gain or short-term capital gain in MF

Short-term capital loss in MF  can be set off against short-term capital gain or long-term
Capital gain in MF. This statement is

On the Transfer of mutual fund units, such as transfers between demat accounts.

The Stamp duty is applicable @ _______ %.

Stamp Duty on Mutual Fund Units purchase is applicable @ ______ % of the amount invested

Suppose an Investor opted for the IDCW option in the mutual fund Scheme.

Which of the following statements is true about their Capital gain tax?

The first ________ lakhs worth of long-term capital gain is tax-exempt.

Investor earns the Capital Gain on his Mutual Fund investment when?

While investing in a Mutual Fund scheme, the Investor has two options to choose  1. Growth option and 2. IDCW option

What is fullform of IDCW

A _____________ Portfolio is created by MF Scheme to ensure fair treatment to all investors in case of a credit event and to deal with liquidity
risk.

NAV for index funds, liquid funds and other debt funds. is to be calculated up to at least ______ decimal places.

NAV for equity and balanced funds is to be calculated up to at least ______ decimal places.

"Outstanding Fees payable by MF" will come under the category of

Which of the following comes under the category  "Income accrued"

A higher NAV value of a Mutual Fund Scheme indicates?

The formula for calculating NAV  is

"Entry load" is banned in India ?

What is the exit Load in a Mutual Fund Scheme?

‘Mark to Market’ means

Calculate the NAV of MF.. Given the following information:

(1) Investment in Equity -- 200 Cr  ( 2. ) Investment in Debt -  50 Cr is (3) Dividend accrued but not received -- 5 Cr     

(4) Interest earned but not received  --  5 Cr. (5) Fees Payable -- 2 Cr.   (6) MF Expenses - 10 Cr......

(7)  Total No of outstanding units 5 Crs.  Caculate NAV of a Mutual Fund is 

Investment platforms like Groww, Kuvera, Paytm Money, Coin, etc are

If an investor invests in the Direct Schemes of Mutual Funds? How much commission does he have to give to the  MF Distributor?

What are the prerequisites to become a Distributor of a Mutual Fund?

Mutual Fund Distributor has to be empaneled with different AMCs to sell their Mutual Fund schemes

The Trail commission to the MF Distributor is paid to him as per _________.

Trail Commission of Mutual Fund Distributor is calculated______________.

Trail commission increases as NAV increases. The above statement is true or false.

The individual MF Distributor must pass the NISM_______certification examination mandated by SEBI.

Which of the following are Non-individual entities of Mutual fund distributors ?

A Mutual Fund manager manages a mutual fund portfolio in line with the scheme’s investment objectives.  This statement is True or False?

What is the role and importance of mutual fund distributors?

Which of the below are mandatory documents to be disclosed about a mutual fund scheme?

Fund factsheet is Non-Mandatory Disclosures

In risk-o-meter,   Red colour indicates

In risk-o-meter,   Yellow colour indicates

In risk-o-meter,   Irish Green ( Dark Green) colour indicates

SEBI has mandated that the Asset Management Companies (AMCs) should prominently disclose on a daily basis, the Total
expense ratio (scheme-wise, date-wise) of all schemes. This statement is true or false

Each scheme’s NAV is required to be disclosed at the end of each

Key Information Memorandum (KIM) is Not mandatorily circulated
along with the application form.

What is the Full form of KIM

The Statement of Additional Information (SAI) has additional information about the Mutual fund Schemes offered in NFO

The Risk-o-meter and Statement of the suitability of the scheme are to be published on the front page
of the SID. The above statement is

The full form of SAI is

Both SID and SAI  documents are to be published on AMFI’s website (www.amfiindia.com)
as prescribed by SEBI.

What is the full form of the SID documents of the Mutual Fund Scheme?

The Mutual Fund under all its schemes shall not own more than ____ percent of a company’s paid-up capital bearing voting rights.

After the completion of ____  years, the  MF scheme, the Performance advertisement of mutual fund schemes shall be provided in
terms of CAGR for the past 1 year, 3 years, 5 years, and since inception.

The right to terminate the appointment of an AMC is with the Unit Holder. How much percentage of Unit Holders can perform this action

The celebrity endorsements shall not promote a particular scheme
of a Mutual Fund house/AMC.

Celebrity endorsements of Mutual Funds at the industry level are allowed.. True or False

Which  body ensures that the Indian mutual fund industry remains one of the most regulated and transparent investment options for
investors.

In India, the Insurance market is regulated by

Maximum Nomination, Investors can specify for their Mutual Fund Investment.

The Securities and Exchange Board of India (SEBI) regulates

Reserve Bank of India regulates the

All custodians need to register with

How much percentage of  AMC's -Directors should be independent  i.e., not associated with the sponsor or any of its subsidiaries or the trustees.

The custodian is appointed by the

The appointment of  Registrars and Transfer Agents  ( RTA ) is done by the

The Fullform  of ARN is

The following is not a requirement to become a Mutual Funds Distributor?

The Trustees appoint the Scheme Auditor, and the AMC appoints the AMC auditor.

State whether the above statement is true or false.

Who maintains investors' records?

The sponsor should have average net annual profits immediately preceding the five years of at least

The sponsor of a Mutual Fund should carry on business in financial services for not less than

Custodian is appointed by?

Who has custody of the assets of the scheme

Day to day management of the schemes is handled by

Who are the main persons behind the mutual fund business?

In India, Mutual Fund is constituted as

Which types of Mutual funds are more expensive, Active Mutual Funds or Passive Mutual Funds?

What are the advantages of investing in Mutual Funds

Quant Funds choose the Stocks in their portfolio by

Smart Beta Funds are different from Traditional Index Funds and ETFs because

Which of the below is true about Gilt Mutual Funds

Which of the following in not true about Focused Fund ?

Equity Linked Savings Scheme has a locking period of

Value Fund or Contra Fund

Multi-Cap Mutual Fund invests

The (SID) scheme information document  is issued by:

 In India, which body regulates mutual funds

The day-to-day management of a mutual fund’s portfolio is done by

Which of the following is not true about Exchange Traded Funds (ETFs)

Which one of the following statements is not true about Close-ended funds ?

Which of the following is not true about Open-ended funds

STP is used in Mutual Funds

What is not true about the NAV of a Mutual Fund

Maturity of Overnight Fund is

Which of the following Investment avenues are not classified under commodity categories?

What is Ticket Size in Investment ?

Which among the following investment avenues is ranked top in liquidity.

Which body is responsible for controlling the Mutual Funds industry in India?

If inflation increases then the purchasing power of money?

Which of the following Govt.  body regulates financial markets and ensures investor protection.

Which one of the following statements is not true about Mutual Funds?

Diversification of Investment will ?

Herd Mentality means ?

If the country has a war-like situation and the stock market falls drastically, what risks does this situation come under?

Which of the following options are not traditional ways of investing?

What is Liquidity ?

Saving is different from  Investment ?

Which of the following are not long-term financial goals?