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Worksheets

Mutual

Total questions: 28

Worksheet time: 17mins

Name
Class
Date
1.

What type of mutual fund would be most appropriate for a person who wants to invest in a blend of stocks and bonds?

a)

Balanced Fund

b)

Growth Fund

c)

Income Fund

d)

Municipal Bond Fund

2.

What is Mutual fund?

a)

An investment in which investors pool their money to buy stock.

b)

An investment that you put in your checking account

c)

Investment that you put in your swimming pool.

d)

Investment that you put in the ground.

3.

In this phase: permission was granted for entry of private sector funds.

a)

Phase III – 1993 – 96

b)

Phase IV – 1996

c)

Phase II – 1987 – 93

d)

Phase I – 1964 – 87

4.

What is true about mutual funds

a)

Mutual Funds are not reliable and people rarely invest in them.

b)

The good thing about Mutual Funds is that you don’t have to pay attention to them.

c)

Mutual Funds invest only in shares.

d)

The biggest advantage of Mutual Funds is their ability to diversify the risk.

5.

Which of the following would you suggest for a client who has high risk appetite?

a)

Debt Investments

b)

Gold Investments

c)

Equity Investments

d)

Insurance Investment

6.

The cut-off time for liquid fund redemptions is 3PM

a)

True

b)

False

7.

The liquidity needs of an investor are met through ?

a)

Equity Funds

b)

Index Funds

c)

Money Market Funds

d)

Sector Funds

8.

Mutual funds in India are permitted to invest in

a)

securities

b)

Securities and Gold

c)

Securities, Gold and Real Estates

d)

Securities and Real estates

9.

What is the Full form of Nav ?

a)

Net Asset Value

b)

Net Absolute Value

c)

Net American Value

d)

Net accelerated value

10.

What should be the portfolio duration for Medium Duration fund?

a)

1 to 3 Years

b)

3 to 4 Years

c)

4 to 7 Years

11.

Who enters into contract in a mutual fund structure

a)

Sponsor

b)

Trustee

c)

AMC

d)

Depends upon the Fund type

12.
What does "IPO" stand for?
a)
Initial Public Offering
b)
Investor's Private Ownership
c)
Investing Publicly Overseas
d)
Inside Private Operations
13.

Investing in a mutual fund with both stocks and bonds is

a)

Bond fund

b)

Balanced Fund

c)

Growth fund

d)

Income fund

14.

When you lay money out and hope to make a profit it is known as:

a)

Investment

b)

Depreciation

c)

Leverage

d)

Income Fund

15.

A variety of funds is known as a

a)

Income fund

b)

Growth fund

c)

Family of Funds

d)

Indirect Investment

16.

A fund that grows over time is known as

a)

Income fund

b)

Growth fund

c)

Balanced Fund

d)

Stock Market Fund

17.

A company that you invest in that buys multiple stocks and bonds is known as a

a)

Commodity

b)

Commission

c)

Mutual Fund

d)

Precious metal

18.

is an increase in the value of an asset over time.

a)

Appreciation

b)

Depreciation

c)

Dollar Cost Averaging

d)

Portfolio

19.

The first introduction of Mutual Funds in India occurred in which of the following years?

a)

[A] 1964

b)

[B] 1963

c)

[C] 1987

d)

[D] 1999

20.

The total Assets minus Liabilities divided by outstanding very similar to the PPS of a stock

a)

PPS

b)

Nav

c)

EPS

d)

All of Above

21.

Select the type of Investment most suitable for preserving wealth

a)

Aggressive growth Mutual fund

b)

Blended Mutual Fund

c)

Conservative Mutual Fund

d)

Individual Stocks

22.
A company owned by families or a small number of investors and do not issue stock to the public.
a)
public company
b)
industry
c)
private company
d)
portfolio
23.
You can buy stock in any company in the world.
a)
True, all companies are required to offer stock.
b)
False, a company is only listed on the stock exchange if it wants to be.
24.
Why does a company issue stock?
a)
to brag about their profits
b)
to attract money
c)
to gain publicity
d)
because it is required by law
25.

A person who owns shares (or stocks) in a company.

a)

stockbrocker

b)

investor

c)

shareholder

26.

What type of mutual fund would be most appropriate for a retired person who desires investment earnings to provide for current living expenses?

a)

Balanced Fund

b)

Growth Fund

c)

Income Fund

d)

Industry Fund

27.

It is a portfolio of stocks or bonds designed to react on the composition and performance of a financial market index.

a)

Index fund

b)

Global funds

c)

Income

d)

Mutual funds

28.

Money market is use for.......................purpose

a)

Short Term

b)

Long Term

c)

Security

d)

stock