NISM VA MOCK TEST 3

Mr G needs rs 150000 after 3 months in which instrument he should park his funds for capital protection and liquidity?

Which of the following criteria need not to be fulfilled for becoming a sponsor?

Investment in a sovereign bonds issued at a fixed interest rate is subject to

Mr. M has opted for the growth plan in equity hybrid, so what he will earn from his investment:

—- All dividends/interest payments that are generated from the basket of components that makes up the index in addition to the capital gains.

____ is the process of transferring units to the person entitled to receive it in the event of the death of the unit holder.

Which of the following generates account statement that an investor receives?

Mr. H has estimated that he will need rs 25000000 after 25 years to meet his post retirement expense, for this purpose he is willing to invest rs 14750 p.m. in balanced mutual fund scheme for next 20 years and expect rate of return 9.5%p.a., will he be able to meet his goal?

Which of the following is not the rights of investor?

Short Selling is not exposed to which of the following risk:

Mr D invested rs 15000 p.m. from last 15 months in equity oriented scheme and now wants to redeem all his units, which of the following sip investment will be eligible for LTCG taxation now?

A nomination can be changed or cancelled at any time.

Mr J, a retire person needs fixed amount rs 15000 p.m. post retirement to meet his daily expenses so in which instrument he should invest to meet the needs. He is conservative investor?

Buy a Call Option means:

How to terminate appointment of an AMC?

____ is appointed to manage the activities related to launching a scheme, marketing it, collecting funds, investing the funds according to the scheme’s investment objectives and enabling investor transactions.

—- is a web based centralized grievance redress system of SEBI.

   Arrange the following in order of KYC process: (I) The original documents of the identity and address proof are returned to the investor after verification while the forms and supporting documents are uploaded in the server of any centralised KRA . (II) The requisite form has to be filled-in along with supporting documents. The supporting documents (identity and address proof) are verified with the original documents. (III) In-Person Verification (IPV) of the investor (IV) Details are uploaded on the KRA’s servers, the KYC process is complete.

Which of the following derivatives has obligation :

Systematic Investment Plan averages the unit-holder’s cost of acquisition since more units are bought for the same amount of when the price/markets are down and fewer units when the price/markets are up ,which approach does it refers to?

——- is the primary regulator of mutual funds in India.

Mr D invested rs 145000 in “AA” rated 8% corporate bond of CKJ Ltd. To which risk he is exposed to:

Mr. T invest rs 2500 p.m. in equity mutual fund scheme, will he be eligible for pan exemption?

SID and SAI documents are prepared in the format prescribed by—

Mr. S a wants to know the real return earn on his investments made in debt mutual fund in last four years how to calculate?

    An UBO of a company is one who owns or is entitled to more than — percent of its shares or profits, more than — percent in case of partnerships and body of persons.

—– benefit in reducing the overall risk of portfolio.

Risk associated with Repo Transactions in corporate bond are mitigated through:

Which of the following approach believes that the market is inefficient and past patterns and trends tend to repeat themselves in future?

—- regulates the banking system, as well as Money Markets

—- facilitate this centralised KYC process.

Small investors, who may not be tax payers and may not have pan/bank accounts, such as farmers, small traders/businessmen/workers are allowed cash transactions for purchase of units in mutual funds to the extent of rs—— per investor, per mutual fund, per financial year.

The —- p/e ratio is normally calculated based on a projected EPS for a future period.

Mr Z is interested to know all the key points that are essential for the investor to know to make a decision on the suitability of the investment for their needs

—— strategy involves active asset allocation.

Liquidity Risk is lowest in:

Mr M invested rs 100000 in equity mutual fund for 5 years and expected rate of return 11% and later shift the entire amount after 5 years he shifts the whole money in liquid funds for next 2 years @ 6.5%? What will be the amount available in liquid fund after 7 years?

The applicant can make a nomination in favour of a maximum of —–nominees and indicate the percentage to each nominee.

Every trust has beneficiaries. The beneficiaries, in the case of a mutual fund trust, are the—

Garima, an equity analyst, analyses the company-specific factors first and then evaluates the industry factors and finally the macro-economic scenario and its impact on the companies that are being considered for investment. Which approach she follows?

While the SID, SAI and KIM need to be updated periodically, the interim changes are updated through the issuance of—

Mark to Market involves valuing each security at its —

Bond prices and interest rate have inverse relationship.

Mr V rely on examples or experiences that come to mind immediately while analysing any data, information, or options to choose from. Which behavioural biasness it represent?

Mr H purchased 1000 units of an debt mutual fund scheme on 1 April 2018 @rs 36.85, and fund declared dividend of rs 2 p.u. on 1 June 2018 and sell all the units on 5 April 2019 @ 32.75. What will be the gain or loss allowed for set off ?

—- are short term securities (up to 1 year) issued by companies.

Once a mutual fund folio is created as a jointly held account there can be no change in the Joint Holders except in case of death.

Mr G action are influenced by the action of large group which behavioural bias it represent?

Any expense other than investment advisory fee and recurring expenses shall be borne by:

Mr Y wants to purchase liquid fund units today and apply for purchase application by 1:30 p.m. so which day NAV would be applicable funds are available for utilization before 1:30 p.m. without availing any credit facility.

Which among the following is not a statutory document?

Whose function is “to undertake nationwide investor awareness programme to promote proper understanding of the concept and working of mutual funds”?

The investment that an investor makes in a scheme is translated into a certain number of ‘——’ in the scheme

Mr P incurred a loss in speculation of shares of rs 15000 but won a lottery of rs 20000 so to what extent loss can be set off?

A high standard deviation indicates higher volatility in the returns and greater risk.

Sub-Agents are not employees of the firm, but purely work as an extended distribution arm.

Nominee shall receive the commissions as beneficiary after deceased mutual fund distributor.

The accounts of the schemes need to be maintained distinct from the accounts of the AMC.

Mutual Funds provide both liquidity and transparency. True or false?

Mr M a Mutual Fund distributor says that the equity oriented scheme recommended by him will give a guaranteed return of 11% p.a. , is the statement correct to say, do mutual fund provide guaranteed return?

X purchased 1000 shares of GK ltd. On 31 Dec 2016 @rs 270.35,but today ( 1 April 2018),he want to sell the shares for rs 280.52,what will be the cost of acquisition applicable for gain/loss calculation ?Hint: highest quoted price on 31 Jan 2018 is 278.25

NFOS other than ELSS can remain open for a maximum of—– days

Beta as a measure of risk is relevant for:

A person who is guilty of moral turpitude can be appointed as trustee of mutual fund scheme.

Mr Sharma, wants to become a mutual fund distributor so for it what are the pre-requisites to be fulfilled:

Mutual Fund is set up as:

The asset class in which a fund will invest will be defined by

Mr D wants to invest in such mutual fund schemes in which fund is invested in those companies whose earnings are expected to grow at an above average rate.so in which of the following he should invest?

Allotment of units or refund of moneys, as the case may be, should be done within —business days of closure of the scheme

TDS Rate applicable in individual resident on dividend earned is —- in excess of —- in a financial year.

Sheena wants to know the net investment made as the gross subscription less transaction charge and provides the number of units allotted against the net subscription, so which document she should refer

ELSS has a lock in period of —- years and must hold at least — % of the portfolio in equity securities.

In which of the following options increase in number of units on account of dividend declared:

Armed with the ARN no., the distributor/stock exchange broker can get empanelled with — number of AMCs.

Radha wants to invest in government securities of medium and long term maturities so she can invest in which of the following funds?

Fixed maturity plans have no interest rate risk.

Whose job is it to track the various corporate actions like bonus, dividend, or rights issues in companies where the mutual fund scheme has invested?

— commission of mutual fund distributor would be payable over a period and hence commission would be payable periodically.

Impact of dividend declared on NAV in case of dividend reinvestment option:

—- invest in Debt Securities with a derivative instrument or equity shares. Structured portfolio such that ‘Amount Invested + Interest = Investor’s Principal.

While calculating profits, all the expenses that relate to a period need to be considered, irrespective of whether or not the expense has been paid.

—– invests directly or indirectly in real estate assets or other permissible assets in accordance with the SEBI (mutual funds) regulations, 1996.

Trail Commission depends on the —

Valuation shall be reflective of the realizable value of the securities/assets

‘Who can Invest?’ section is given in which document of scheme:

Mr. S has invested in equity oriented funds few years back and now he want to redeem the units today so by what time he should apply so that same day NAV is applicable in redemption. What is the cut off time?

A —-for each calendar month is sent by post/email on or before 10th of the succeeding month provided there has been a financial transaction in the folio in the previous month.

_______is a facility where the investment application in a new fund offer (nfo) is accompanied by an authorization to the bank to block the amount of the application money in the investor’s bank account.

____ contains the basic information of each scheme such as the inception date, corpus size (AUM), current NAV, benchmark and a pictorial depiction of the fund’s style of managing the fund. Not regulatory required.

Derivatives can be used for :

Mr M invested a lumpsum of rs 18000 in debt mutual fund on 10 may 2016 and reedem all units alloted on 10 apr 2018, What types of Gain it will be ?

Mutual Fund is set up as:

If interest rate rises —- risk decrease

What are the requirement of a credible benchmark?

Which is not an advantage of investing in Mutual Fund ?

What is the defination of Large cap as per SEBI ?

What should be the Minimum Equity investment in Multi Cap Fund ?

In a Corporate Bond Fund what should be the minimum corporate bond investment of AA+ Category?

In case of a liquid fund TER shall not exceed..

Can AMC Charge Investment & Advisory Fees on Segregated Portfolio’s?