NISM-Series-XV - Research Analyst Certification Exam -21
NISM-Series-XV - Research Analyst Certification Exam -21
Q 1. Which factor is NOT mentioned as a driver of secular trends?
a) Demographic changes
b) Change in regulation or government policy
c) Gradual change in cultural preferences
d) Increase in disposable income
e) Sudden change in societal response to a pandemic
Q 2. What is intrinsic valuation based on?
a) the market price of similar assets
b) the cost incurred to create the asset
c) the cash flow generated by the assets
d) the selling price of other assets
e) None of the above
Q 3. What do Research Analysts need to thoroughly understand when analyzing different industries?
a) Global factors influencing GDP growth
b) Fluctuations in unemployment rates
c) Consumer behavior and preferences
d) Social media trends
e) Regulatory environment and business models
Q 4. What external factors do PESTLE analysis primarily focus on for a business looking to set up units offshore?
a) Economic and Political factors
b) Political and Environmental factors
c) Socio-Cultural and Technological factors
d) Legal and Economic factors
e) Political and Socio-Cultural factors
Q 5. What does Adjusted Book Value (ABV) consider that is not factored in by the traditional book value?
a) Liabilities only
b) Off-balance sheet items
c) Market capitalization
d) Future cash flow
e) Net Asset Value
Q 6. What distinguishes sponsored depositary receipts from sponsored depositary receipts?
a) Sponsored DRs can only be traded in OTC markets, while sponsored DRs can be listed on exchanges
b) Sponsored DRs require less regulatory compliance than sponsored DRs
c) Sponsored DRs are issued by investors, while unsponsored DRs are issued by companies
d) Sponsored DRs must comply with all listing requirements, while sponsored DRs have no listing requirements
e) Sponsored DRs allow two-way fungibility, while sponsored DRs do not
Q 7. Which of the following goods or services is still subject to Excise Duty in India?
a) Electronics
b) Textiles
c) Liquor
d) Books
e) Medicines
Q 8. What does Political Risk refer to in investments?
a) Changes in market demand
b) Unfavourable government actions
c) Fluctuations in exchange rates
d) Price volatility in securities
e) Country-wide economic trends
Q 9. What role do stock exchanges play in the securities market?
a) they provide credit ratings for securities.
b) they issue new securities to investors.
c) they manage funds and securities settlements.
d) they hold securities in electronic form.
e) they offer a trading platform for buyers and sellers.
Q 10. Why is it relevant for an analyst to assess the educational qualifications of the top management team?
a) To predict quarterly financial reports
b) To understand market trends
c) To evaluate the CEO's leadership style
d) To assess competency
e) To analyze customer preferences
Q 11. What are the key rules highlighted by Warren Buffett?
a) Rule No.1 is always gaining money.
b) Rule No.2 always forgets rule number one.
c) Rule No.1 is never forget rule number two.
d) Rule No.2 is never losing money.
e) Rule No.1 is always take risks.
Q 12. In the context of pledging, what is the entity giving the loan against securities called?
a) Pledgor
b) Pledgee
c) Demat account
d) Arbitrator
e) Rematerializer
Q 13. What is the primary characteristic of current assets?
a) Likely to provide benefits over the long term
b) Expected to be collected in the long term
c) Benefit the organization within one operating cycle
d) Subject to impairment testing
e) Shown at historical cost
Q 14. What is the primary role of the Securities and Exchange Board of India (SEBI)?
a) Issuing currency and coins.
b) Regulating monetary policy.
c) Protecting the interests of investors in securities.
d) Administering the Companies Act.
e) Managing foreign exchange.
Q 15. What is dematerialization in the securities market?
a) Converting securities from electronic to physical form
b) Taking a loan against securities
c) Selling securities in the spot market
d) Converting physical security to electronic form
e) Engaging in arbitrage transactions
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