NISM Securities Operations - 5

nism-securities-operations

 50

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Q 1. The stock broker is required to register all joint holders for the depository account if ________

If redemption request is to be entered with depository settlement.

If subscription request is to be entered with depository settlement.

Both (a) and (b)

None of the above

Q 2. What is known as the legal record of any transaction carried out on a stock exchange through a stockbroker?

Bank statement

Confirmation document

Contract note

None of the above

Q 3. What is the haircut on other semi liquid and illiquid government of India dated securities?

2%

5%

10%

12%

Q 4. What is the time line followed for the Custodians for the credit of securities/funds to client''s account?

T+1

T+2

T+2 / T+3

T+4

Q 5. When there is any shortfall in the margin amount, ______________________. (i) A warning will be issued to the broker by the Exchange (ii) The limits of the broker will be reduced by the Exchange (iii) Terminals of the broker shall be immediately deac

Only (i)

Only (ii)

Only (iii)

Only (i) & (iii)

Q 6. Which of the following is a middle office function?

Clearing and Settlement of trade

Confirmation of trade

Risk management

None of these

Q 7. Which of the following is TRUE about BROKERAGE?

Maximum brokerage that brokers can change is 1.5% of the trade value.

In the case of options contracts, maximum brokerage can be 1.5% of the option premium or Rs. 100/- per contract whichever is higher.

Brokerage rule for F&O segment is similar to the equity segment except for options contract.

None of the above

Q 8. Which of the following order gets executed immediately? (i) Limit (ii) Stop Loss (iii) Market

Only (i)

Only (ii)

Only (iii)

Only (i) & (iii)

Q 9. Which office monitors the post-market processing of transactions?

Front office

Middle office

Back office

Sales Office

Q 10. Who among the following put together the demands of the buyers with the offers of the security sellers? (i) Investors (ii) SEBI (iii) Intermediaries

Only (i)

Only (ii)

Only (iii)

Only (i) & (iii)

Q 11. ___________ is/are the investor(s) in the CORPORATE BOND market. (i) Insurance Companies and Banks (ii) Mutual Funds (iii) FIs and FIIs

Only (i)

Only (ii)

Only (iii)

Only (i), (ii) & (iii)

Q 12. _____________is the trading with borrowed funds/securities.

Debt trading

Loan trading

Exposure trading

Margin trading

Q 13. _________is the risk of monetary loss resulting from inadequate or failed internal processes, manual and systems error or external events.

Regulatory risk

Market risk

Credit risk

Operational risk

Q 14. A stock broker has to keep and maintain_____________for record purpose. (i) Copies of KYC forms (ii) Agreement with clients (iii) Net worth certificate of clients

Only (i)

Only (ii)

Only (iii)

Only (i) & (ii)

Q 15. An investor or trader can trade in Debt Instruments in which of the following markets? (i) Commodity Markets (ii) OTC Markets (iii) Exchange Traded Markets

Only (i)

Only (ii)

Both (i) & (ii)

Both (ii) & (iii)

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