NISM Series V A Mutual Fund Distributors Paper 01
| Q1.Dividends that are paid by mutual funds can be paid out of __. |
| Profits of the Asset Management Company |
| Mark to Market profits |
| All realized and unrealised gains |
| Distributable surplus only |
| Q2.When the distributors are impaneled, the mutual funds should categorize the customer relationship and transactions in which of the following ways? |
| Advisory, Sale |
| Advisory, Execution |
| Financial Planning, Distribution |
| Priority Sale, Retail Sale |
| Q3.In which of the following transactions a 'Transaction charge' can be deducted? |
| Online purchases |
| Systematic transfer plan (STP) transaction |
| Purchases of Rs 10000 or more |
| Purchase made on stock exchanges |
| Q4.The full form of AGNI is __. |
| AMFI Guidelines for New Investors |
| AMFI Guidelines for New issues and Investments |
| AMFI Guidelines for Nominations and Investments |
| AMFI Guidelines and Norms for Intermediaries |
| Q5.Mutual funds today are benchmarked to the Total Return variant of an Index (TRI) and not to the Price Return variant of an Index (PRI). What is the advantage of TRI over PRI? A) It ensures that the performance comparison is fair B) Increases transparency |
| Only A |
| Only B |
| Both A and B |
| Q6.An investor purchases through a distributor 5000 units of a mutual fund scheme at a NAV of Rs 25. The current NAV of the scheme is Rs 43. What will be the trial commission for today if the trial commission rate is 1% per annum. |
| Rs. 2150 |
| Rs. 33.1854 |
| Rs. 3.4246 |
| Rs. 5.8904 |
| Q7.The form for registering a change in the default bank account has to be signed __. |
| by the first holder only |
| by all the holders of the folio |
| according to the mode of holding of the folio |
| by all the holders of the bank account |
| Q 8. Which of these statement(s) is/are true? A. Inequity investments, the probability of losing money over the long term is lesser than losing money in the short term B. Fundamental Analysis consists of studying the financial statements of a company and the candlestick charts |
| Only A is correct |
| Only B is correct |
| Both A and B are correct |
| None of the above |
| Q 9.Long Duration debt scheme invests in debt instruments with Macaulay duration __. |
| between 1 year and 3 years |
| below 1 year |
| greater than 7 years |
| 6 months and 12 months. |
| Q 10.Which of the following information about mutual fund distributors who have multiple points of presence (more than 20 locations) must be disclosed by the AMCs? A) Distributor-wise gross inflows and net inflows B) Average assets under management C) Total commission and expenses paid to distributors |
| B and C |
| A and C |
| A and B |
| All A, B, and C |