NISM Mutual Fund Exam Paper 9

Q (11): 

Who determines the maximum load that a fund can charge?

  AMC

  SEBI

  AMFI

  distribution agents based on demand for the fund

Q (12): 

Why schemes maintain a certain proportion of their assets in liquid form? Fund manager believes the market is over-heated. To provide for contingencies such as impending dividend payment or re-purchase expectations.

  Only 1

  Only 2

  1 and 2

  None of the above

Q (13): 

Your client has won Rs.1crore in quot;Kaun Banega Crorepatiquot;.What would your suggestion be?

  Invest the entire amount without any delay in quot;old economyquot; stocks-since they are back in favor

  Invest the entire amount immediately in an Equity Index Fund-since the index is a historic low

  Invest in very safe liquid investment options and take the time needed to work out the financial plan

  Invest immdiately in IT stocks, since the valuations are now considered to be attractively low

Q (14): 

_______ is suitable only for seasoned investors operating with large investibles surpluses?

  Model Portfoliorsquo;s

  Strategic Asset Allocation.

  Tactical Asset Allocation.

  None of the above.

Q (15): 

30: 70 Ratio in equity - debt is for

  Young unmarried stage

  Maried with 2 Children stage

  Just Maried

  Call centre employee

Q (16): 

A conservative investor will invest in __________

  Diversified Equity

  Mid Cap

  Small Cap

  Arbitrage Funds

Q (17): 

A goal oriented financial plan includes taking a perspective on the Life Cycle and Wealth Cycle of the investor

  (A) True

  (B) False

Q (18): 

A sales charge investors pay when they redeem (or sell) mutual fund shares,generally used by the fund to compensate brokers.

  Front-end Load

  Right-end Load

  Left-end Load

  Back-end Load

Q (19): 

According to SEBI, Which of the followings aren't have to provide details of the lsquo;Ultimate Beneficial Ownerrsquo; (UBO) of the investments and submit documents to establish their identity of such UBOs through any of the identity proofs acceptable under the KYC norms? Trusts Listed Companies Subsidiaries of listed company

  Only 1

  Only 2

  1 and 2

  2 and 3

Q (20): 

All are the commodities except

  Gold

  Crops

  Industrial metal

  Real estate