NISM Series V A Mutual Fund Distributors Paper 24
| Q1.Identify the TRUE statements with respect to Transmission of mutual fund units - A) Before the transfer is effected, the mutual fund will insist on an indemnity against future problems for the mutual fund arising out of the transfer B) Before the transfer is effected, the mutual fund will not insist on the death certificate of the deceased unit-holder C) Before the transfer is effected, the mutual fund will insist on the KYC documentation from the nominee |
| A and B are True |
| B and C are True |
| A and C are true |
| All A, B, and C are true |
| Q2.The indices based on Government securities will be an appropriate benchmark for which type of funds? |
| Credit Risk Funds |
| Gilt Funds |
| Money Market Funds |
| Liquid Funds |
| Q 3.What is Indexation? |
| Reduction of short and long term capital gains tax by using an index based calculation |
| Benchmarking the index fund against a suitable index like Sensex / Nifty |
| Adjusting the cost of acquisition upwards to reflect the impact of inflation |
| Adjusting the cost of acquisition downward to reflect the impact of inflation |
| Q4.That mutual fund that has an investment charter that provides for a reasonable level of investment in both equity and debt is known as ___. |
| Fixed maturity plan |
| Hybrid fund |
| ELSS Fund |
| Liquid Fund |
| Q5.Of the below options, what is FALSE with respect to Arbitrage Funds? |
| Arbitrage Funds have Basis Risks |
| Arbitrage Funds invest in Equity Markets |
| Arbitrage Funds invest in both Spot and Futures Market |
| Arbitrage Funds are more riskier than Sectoral Funds |
| Q6.Does Exchange Traded Funds-ETF Gold regularly invest in good gold mining companies - True or False? |
| True |
| False |
| Q7.Identify the true statement(s) - A) Individuals can register up to five bank accounts with a mutual fund B) A Non-Individual can register up to ten bank accounts with a mutual fund |
| Only A is correct |
| Only B is correct |
| Both A and B are correct |
| Both A and B are incorrect |
| Q8.Investments in Mutual Funds can be done only through AMFI authorized MF distributors - True or False? |
| True |
| False |
| Q9.The amount which is paid to the distributor at the time the money is invested in a scheme is called ____. |
| Trail Commission |
| Upfront Commission |
| Rebate |
| Fund Incentive |
| Q10.Mr. Shah gives a local cheque at 4.30 pm of Rs 10 lacs at a Mutual Fund office for investing in a Gilt Fund. Of which day will the NAV be applicable to him? |
| NAV of the same day |
| NAV of the next business day |
| NAV of the day on which the funds will be available |
| None of the above |