NISM MUTUAL FUND FOUNDATION 2
NISM MUTUAL FUND FOUNDATION
Mock Test with Answer key - Click Here >>
Q 1. Which Bombay Stock Exchange (BSE) segment allows for transactions in mutual fund units?
a) BSE-Star MF
b) NSE Mutual Fund II Platform (NMF-II)
c) BSE Equity Segment
e) BSE Debt Segment
Q 2. How are units allotted to investors after deducting the transaction charges?
a) Based on the gross subscription amount
b) Based on the net subscription amount
c) Based on the total transaction charge
e) None of the above
Q 3. What is the Employee Unique Identification Number (EUIN) used for?
a) To obtain an ARN
b) To register with AMFI
c) To verify educational qualifications
e) None of the above
Q 4. How is the exit load calculated in a mutual fund scheme?
a) By reducing the NAV
b) By deducting a percentage from the Sale Price
c) By increasing the NAV
e) By adjusting the expense ratio
Q 5. What is the purpose of AMFI's Code of Conduct for Intermediaries of Mutual Funds?
a) To promote unethical practices among intermediaries
b) To discourage intermediaries from selling mutual fund products
c) To maintain high ethical standards among intermediaries
e) To restrict access to mutual fund products for investors
Q 6. What does the Expenses section in the KIM disclose?
A) Personal expenses of the Fund Manager
B) Administrative expenses of the Asset Management Company (AMC)
C) Travel expenses of the Trustee
E) None of the above
Q 7. How is the surcharge calculated under the capital gains tax?
a) On the purchase price of the units
b) On the selling price of the units
c) On the base tax
e) None of the above
Q 8. Who bears the Goods and Services Tax (GST) on brokerage and transaction costs in mutual fund schemes?
a) Investors
b) Asset management companies (AMCs)
c) Distributors
e) Government of India
Q 9. How long does it typically take to register the OTM mandate?
a) 1 to 2 weeks
b) 2 to 3 weeks
c) 3 to 4 weeks
e) None of the above
Q 10. What is the primary purpose of KYC compliance for mutual fund investors?
a) To track investment performance
b) To ensure compliance with Anti-Money Laundering Laws
c) To calculate investor returns
e) None of the above
Q 11. What should accompany a change request in the KRA change form, if available?
a) Bank statement
b) Passport
c) Self-attested copy of PAN
e) Utility bill
Q 12. What happens if no selection is made regarding the mode of holding and operating the account in a mutual fund application form?
a) The application form is rejected
b) The default option mentioned in the application form is applied
c) The account is frozen
e) The account is closed automatically
Q 13. Who is eligible to make investments in mutual funds using cash?&
A) Any Indian citizen with a PAN card
B) Any NRI with an Indian bank account
C) Any investor for amounts up to ₹50,000 per financial year
E) Only senior citizens above 60 years of age
Q 14. In analyzing the default rate distribution of a loan pool, which category indicates a higher risk?
a) 0-30 days past due (DPD)
b) 30-60 days past due (DPD)
c) 60-90 days past due (DPD)
d) 90+ days past due (DPD)
Q 15. What is the purpose of security selection in equity portfolio management?
a) To predict market conditions
b) To avoid market timing
c) To construct a portfolio different from the benchmark
e) To minimize market risks