NISM Series V A Mutual Fund Distributors Paper 23
Q1.The risk mitigation strategies adopted by the fund management to control and manage the risks associated with investing in specific types of securities are described in the ____. |
Scheme Information Document (SID) |
Statement of Additional Information (SAI) |
Fund Factsheet |
KYC form |
Q2.Which of these statement(s) is/are TRUE? A) If the mutual fund units are held in Demat form, they cannot be converted into physical form B) When a mutual fund is redeemed or when there is a dividend payout, the amount will be credited to the bank account linked to the Demat account for those mutual fund investors who opt for Demat units |
Only A is correct |
Only B is correct |
Both A and B are correct |
Q3.Which of the following is a measure of market risk? |
Beta Coefficient |
Sharpe Ratio |
Treynor Ratio |
None of the above |
Q4.Which of the following options form the basis of the appointment of a Mutual Fund distributor? |
An agreement between the AMC and the Distributor |
Approval from SEBI |
Power of Attorney from the AMC |
An agreement with AMFI |
Q5.An investor gives a cheque of Rs 2 lacs for investing in an ELSS scheme at 2.30 pm at a Mutual Fund office. The NAV of which day will be applicable to him? |
NAV of the same day |
NAV of the next business day |
NAV of the day on which funds will be available |
None of the above |
Q 6. A trader believes that he can always outperform the market. This is an example of _ bias. |
Recency |
Overconfidence / Optimism |
Herd Mentality |
Anchoring |
Q7.You are expecting interest rates (yields) to rise in the markets. Where would you invest your money considering this forecast? |
Long Terms Debt Funds |
Short Term Debt Funds |
Equity Funds |
Banking Sector Funds |
Q8.The Stock Exchanges which provide facilities for Mutual Fund trading also do the functions of Mutual Fund RTAs. - True or False? |
True |
False |
Q 9. Why do we need Financial Planners? |
because people are not aware of investment avenues |
because people do not have the time |
because people do not know their financial goals |
all of the above |
Q10.Identify the TRUE statement? |
Mutual funds which are bank-sponsored are regulated by RBI and not SEBI |
SEBI and AMFI both regulate mutual funds in India |
Stock Exchanges regulates mutual funds in India |
SEBI regulates mutual funds in India |