NISM INVESTMENT ADVISER LEVEL 1 - 9
NISM INVESTMENT ADVISER LEVEL 1
Mock Test with Answer key - Click Here >>
Q 1. What is hypothecated against a vehicle loan?
a) Immovable property
b) Education certificates
c) Vehicle itself
d) Cryptocurrency
Q 2. Who can open a Sukanya Samriddhi Account?
A) Only the girl child herself
B) Any adult family member
C) Only the father of the girl child
d) Any natural or legal guardian
Q 3. What is the primary concern related to retirement for all households?
a) Maximizing current income.
b) Minimizing expenses.
c) Efficient management of assets.
d) Meeting income needs in retirement.
Q 4. What factor determines the switch from the snowball to the avalanche method in the Blizzard approach?
a) Loan duration
b) Random selection
c) Amount outstanding plus interest rates
d) Number of loans
Q 5. What is the mandatory mode of application for a rights issue?
a) Cheque payment
b) Cash payment
c) Demand Draft
d) Applications Supported by Blocked Amount (ASBA)
Q 6. At what age is partial withdrawal allowed from a Sukanya Samriddhi Account?
A) At any age
B) At 15 years
C) At 16 years
d) At 21 years
Q 7. How is Net Worth calculated?
a) Total Assets + Total Liabilities
b) Total Assets × Total Liabilities
c) Total Assets – Total Liabilities
d) Total Liabilities – Total Assets
Q 8. What happens to the shareholding of existing shareholders in an IPO when there is an "Offer for Sale"?
a) It remains the same
b) It increases
c) It decreases
d) It becomes widely held
Q 9. What document should market participants carefully read before trading in derivatives?
A) Model Risk Disclosure Document
B) Trading Manual
C) Operational Procedures
d) Transaction History
Q 10. Who are the users of funds in the financial markets?
a) Only governments
b) Only businesses
c) Only households
d) Only financial institutions
Q 11. How does inflation risk affect bond investors?
a) Increases the real return on investment
b) Decreases the nominal return on investment
c) Improves the purchasing power of investors
d) Lowers the risk associated with bonds
Q 12. What is the primary principle of futures pricing?
A) The cost of carry must always be equal to the future price.
B) The futures price must be lower than the spot price.
C) The risk-free rate must exceed the carry cost.
d) The difference between the spot and futures price should be maximized.
Q 13. How should the savings plan be incorporated into the budget?
a) By allocating savings only to discretionary expenses.
b) By creating a separate budget for savings.
c) By making savings a part of the fixed figure in the budget.
d) By investing savings in high-risk assets.
Q 14. Which of the following is the primary regulator of the banking system in India?
a) Ministry of Finance
b) Securities and Exchange Board of India (SEBI)
c) Reserve Bank of India (RBI)
d) Insurance Regulatory and Development Authority of India (IRDAI)
Q 15. What is the primary objective of the Core Settlement Guarantee Fund (Core SGF)?
a) To generate profits for the stock exchange
b) To fund the obligations of the regulator
c) To fund the obligations of trading members
d) To invest in speculative securities