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NISM Day 4

Total questions: 13

Worksheet time: 8mins

Name
Class
Date
1.
1) The main difference between the two is that in the primary market, an investor gets securities in-directly from the other investors, while in the secondary market, one purchases securities from companies offering the same in IPO
a)
true
b)
false
c)
Can not be determined
d)

Partially False

2.
2) In case of Primary markets, the IPO prices are determined by issuer company whereas in secondary market prices are determined by ______________
a)
SEBI
b)
Broker
c)
Demand & Supply forces
d)

Investor

3.
3) Key intermediatiers for Primary Market
a)
Merchant Bankers, RTAs and Depositories
b)
Stock broker, DP and Clearing Member
c)
Investment Banker & Authorised Person
d)

Investor & Research Analyst

4.

4) Questions to ask before investing include -

a) Is the Company an MNC and has branches abroad?

b) Is the Company doing good advertisement to market its products / services?

c) Is the company’s revenue growing, company actually making a profit, company able to repay its debts?

d) Is the company in a position strong enough to compete with its peers & the company pay dividends?

Choose one or more best questions

a)
A & D
b)
A & B
c)
C & D
d)
B & C
5.
5) Valid modes of placing order does not include
a)
Orders through mobile app
b)
Orders sent on whatsapp / snapchat / instagram – call via social media
c)
Order through online browser (IBT)
d)
Orders on phone call / email – call & trade
6.

6) Type of order on trading screen includes -

• MIS for intraday trades, CNC for carry forward of cash market trades, NRML for F&O Trading

• AMO for After Market Order, GTC for Good Till Cancelled Order, IOC for Immediate or Cancel Order,

• Profit Order, Loss Order, Super Order, Clear Order

• Stop Loss Order, Limit Order, Market Order, Cover Order, Bracket Order

Choose one or more options

a)
Only A, C & D are all valid order types
b)
A, B, C & D are all valid order types
c)
Only A, B & D are all valid order types
d)
Only B & D are valid order types
7.

7) Trading Terminal Features covers the following

• The login process, Market Watch List, Creation of Customised Watch List, Placing of Buy / Sell Order, Access to Trade Book

• Access to Order Book & Seamless Fund Transfer

• Switching trades that are already executed

• Funds transfer to / from 3rd party

Choose one or more correct options

a)
A, B, C & D are all valid features
b)
Only A & B are valid features
c)
Only B & D are valid features
d)
Only C & D are valid features
8.
8) Post Trade confirmation by exchange which comes on “T” day is optional feature which an investor needs to susbcribe to?
a)
true
b)
false
c)
Can not be determined
d)

Partially True

9.
9)_________is Post document which every investor / trader receives either physically or on main
a)
ECN – Electronic Contract Note
b)
ECN – Electronic Customised Note
c)
ECN – Electronic Cover Note
d)
DIS – Delivery instruction Slip
10.
10) Classification of Mutual Funds is based on _______ Parameters
a)
Liquidity & Ease of investing
b)
Economic conditions of the country
c)
Structure, Objective & Investment Style
d)
SEBIs instructions
11.
11) Strcutured Mutual Funds are
a)
Debt funds, Equity funds & Hybrid funds
b)
Thematic Funds & Sectoral funds
c)
Structure, Objective & Investment Style
d)
Open ended, closed ended & interval funds
12.
12) SEBI has instructed MFs to categorise their schemes into following categories. Choose the correct answer
a)

Passive Schemes, Active Schemes, Thematic Schemes & Sectoral Schemes

b)
Equity Schemes, Debt Schemes, Hybrid Schemes, Solution Oriented Schemes & Other Schemes
c)
Structured schemes, objective schemes & investment style schemes
d)
Open ended schemes, closed ended schemes & interval schemes
13.
13) Benefits of SIP in Mutual funds investing are
a)

Higher returns, low cost & ease of investing

b)
Protection from losses, Higher Returns & Can invest low amounts
c)
Discipline, Power of Compounding, Rupee Cost Averaging & Convenience
d)
No stringent requirement of any advise or research while investing