SEBI - Investor Certification Examination
SEBI - Investor Certification Examination
Q 1. What are savings?
Money borrowed from a bank
Money invested in stocks
Surplus of income over expenditure
Money spent on luxury items
Q 2. Where can people save their money?
In a friend's house
In a savings bank account
Under their pillow
In a shopping account
Q 3. What is the main purpose of savings?
To buy lottery tickets
To meet short-term goals
To gamble
To hide money
Q 4. What is investment?
Spending all income on goods
Borrowing money
Deployment of money out of savings into financial or non-financial products
Saving money in a piggy bank
Q 5. Which of the following is a financial investment?
Buying a car
Purchasing groceries
Fixed deposit in a bank
Booking a holiday
Q 6. What is a non-financial investment?
Purchasing shares
Buying gold
Investing in mutual funds
Opening a savings account
Q 7. What is the risk associated with investments?
Guaranteed profit
No change in value
Return on investments may rise or fall over time
Fixed interest rates
Q 8. What type of account is best for easy access to funds?
Fixed deposit account
Savings account
Mutual fund account
Stock trading account
Q 9. Why should people invest money?
To spend more
To avoid taxes
To earn higher returns over some time
To keep money safe without any return
Q 10. Which of the following is NOT an investment?
Purchasing land
Buying shares
Opening a savings account
Buying a new car for personal use
Q 11. What should one remember when investing?
Investments are always profitable.
Return on investments may rise or fall over time
Investments are risk-free
Investments are only for the wealthy
Q 12. Where can people save money besides a savings bank account?
Under the mattress
Post Office savings accounts
In a piggy bank
In a jewelry box
Q 13. What is a short-term investment?
An investment held for less than a year
An investment held for 10 years
An investment in real estate
An investment with fixed returns
Q 14. Which of the following is considered a medium-term investment?
Saving in a bank account
Fixed deposit for 2-5 years
Buying daily necessities
Annual vacation fund
Q 15. What is the key difference between savings and investments?
Savings are riskier than investments
Savings are for immediate needs, while investments are for future growth
Savings earn higher returns than investments
Savings are always liquid