NISM INVESTMENT ADVISER LEVEL 2 - 5
NISM INVESTMENT ADVISER LEVEL 2
Mock Test with Answer key - Click Here >>
Q 1. Investors and Traders trade in shares in the ________.
Primary Market
IPO Market
Follow On Public offer (FPO)
Secondary Markets
Q 2. In case of a 'Satellite Portfolio', which of the following is NOT TRUE ?
Low Expected Returns
High Expected Returns
Tactical Managed
Managed in order to benefit from economic and market conditions
Q 3. A foreign company has a manufacturing unit in India. The production of this unit will be considered in the Gross Domestic Production (GDP) of which country ?
India
The foreign country
In India only if this company is listed on Indian Stock Exchnages
Of both the countries
Q 4. While constructing a CORE Portfolio, which of these options is not considered ?
Blue Chip Stocks
Small Cap Stocks
Long term goals of the investor
Strategic needs of the investor
Q 5. What is the Bottom Up approach in Fundamental Analysis ?
Economy - Industry - Company analysis
Company - Industry - Economy analysis
Analysis of low prices of various stocks
Buying when share prices are at a bottom price
Q 6. In which of the following techniques of analysis, the Company is the primary factor determining portfolio decisions ?
Top Down approach
Bottom Up approach
Macro Economic Analysis
All of the above
Q 7. __________ is the decision that comes out of calls on the likely behaviour of the market.
Strategic asset allocation
Tactical asset allocation
Investor risk profile
None of the above
Q 8. When does Re-Investment risk increases ?
In a rising interest rate scenario
In a constant interest rate scenario
In a falling interest rate scenario
In a high inflation scenario
Q 9. Risk appetite is higher when life expectancy is ________.
shorter
longer
Life expectancy does not have an effect on risk appetite
None of the above
Q 10. Investments in _________ are most likely to be affected by rising inflation ?
Bank Deposits
Equity Shares
Gold
Property
Q 11. Which of these instruments have asymmetric pay-off?
Futures
Options
Swaps
Both future and options
Q 12. When interest rates are decreased by the RBI, the price of which bond is likely to see a greater impact ?
30 year bond with 2 years to maturity
Commercial paper of company
15 year Government security
AAA rated 5 year bond
Q 13. Revolving Credit is one of the most expensive form of loans - State True or False ?
True
False
Q 14. ________ need to compulsorily register as investment adviser with SEBI.
Insurance Adviser
Mutual Fund Distributor
Pension products adviser
None of the above
Q 15. Inflation risk is the possibility of erosion in the ______ value of an investment.
Real
Nominal
Notional
Market