NISM Securities Operations – 1

NISM Securities Operations

 45

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Q 1. ___________ occurs when the rules governing the securities industry are changed, giving rise to a potential loss.

Regulatory risk

Market risk

Credit risk

Operational risk
 
Q 2. ______________ are bonds issued by Indian companies and subscribed to be a non-resident in foreign currency.

Foreign Currency Convertible Bonds

Global Depository Receipts

External Commercial Borrowings

None of the above
 
Q 3. _____________witness an abnormal price rise not commensurate with financial health and fundamentals like Earnings, Book value, Fixed assets, Net Worth, P/E multiple etc.

Graded Surveillance Measure

Additional Surveillance Measure

Alternate Surveillance Measure

Premium Surveillance Measure
 
Q 4. __________is the process by which a company offers its shares to the public for sale for the first time.

IPO

FPO

Bonus issue

Right issue
 
Q 5. 
A regional stock exchange can also have nationwide terminals. State True or False.

True

False
 
Q 6. All Index futures contracts are cash settled. State whether True or False?

True

False

Partially true

Partially false
 
Q 7. At what periodic difference a broker has to settle the accounts of his clients at least once in a year?

Quarterly

Monthly

Half-yearly

Yearly
 
Q 8. Both the parties can also seek to settle the matter outside the purview of which of the following? (i) The Exchange (ii) SEBI (iii) The Investor Grievance forum

Only (i)

Only (ii)

Only (iii)

Only (i) & (iii)
 
Q 9. Collateral limits once set are applicable to the trading members/custodial participants for that day, unless otherwise modified by clearing member.- State True or False ?

True

False

Partially true

Partially false
 
Q 10. Delivery of the underlying instrument or __________ occurs after Premature exercise and expiration.

Cash settlement.

Opening of an account.

Securities revaluation

None of the above
 
Q 11. Full form of OFCs is ______________.

Offshore Financial Centers

Offshore Financial Centrals

Offshore Finance Centers

Ofshore Financial Centers
 
Q 12. If the trader purchases or sells at the best price available then that order is called ______________. (i) Market Order (ii) Limit Order (iii) Stop Order

Only (i)

Only (ii)

Only (iii)

None of the above
 
Q 13. In an IPO application, when an application is made in ASBA mode, the application money remains in the investor's account till finalization of basis of allotment in the issue. State True or False.

True

False

Partially true

Partially false
 
Q 14. In case of sale of securities, ______________ should be given to the DP, upon receipt of intimation of execution of trade from broker with whom he maintains the demat account.

Debit instruction

Credit instruction

Hold instruction

No action to be taken
 
Q 15. In the case a complaint is filed by an investor, the matter should be resolved at the branch level or the firm level depending upon the nature of the complaint. State True or False

True

False

Partially true

Partially false

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