Mock Test 2 - TheMFCentral

/50

NISM V-A Mock Test 2

NISM V-A (Mutual Fund Distributor Module) Exam | Mock Test 2

1 / 50

Which of the following is not required for KYC norms.

Proof of investment

Proof of address

Proof of Identity

All of the above

2 / 50

In case of liquid fund, investment less than 3 months old. which return would be calculated?

Absolute return

CAGR

Total return

Simple annualized

3 / 50

SEBI has put a stop on charging ____________ to the scheme.

Recurring Expenses

Exit load

Entry Load

CDSC

4 / 50

Difference between scheme's actual return and optimal return for it's risk is

Treynor

Spread

Sharpe

Alpha

5 / 50

Time stamping needs to start with serial no 1 on every business day.

FALSE

TRUE

6 / 50

CRISIL's indicator for highest safety in a debenture is

Good

AAA

P1+

High

7 / 50

Which of the following document is not require to be submitted by charitable trust to invest in MF?

certificate of registration

Board resolution and Memorandum and article of association

List of authorized signatories

Trust deed

8 / 50

A value fund is expected to have ________ exposure to front line stocks

Entire

High

Half of it's

Low

9 / 50

In case of equity fund, if fund has higher allocation to cash in bullish market the performance is likely to..

cant say

Be comparable to that of benchmark index

Be worse than benchmark return

Better than benchmark return

10 / 50

The guideline issued by AMFI for intermediaries are known as...

AGNI

ACE

AMFI

none of above

11 / 50

The investment in MF portfolio are valued at

Book value of portfolio

Market value of portfolio

Face value of portfolio

cost of investment

12 / 50

Which expenses can be changed by the AMC to a mutual fund scheme?

Expenses which are incurred by investors in buying the fund

Expenses which are incurred to manage the fund

Expenses which are incurred to launch the fund

Expenses which are incurred by the AMC

13 / 50

An investor is doing a liquid investment, fund is available and time is 12.30. NAV would be applicable for the _______

Next working day

Same day

Closing NAV of Day immediately preceding the date of application

Closing NAV of Day immediately preceding next business day

14 / 50

Which of the followings are least comparable

ETF and Index fund

Liquid and Savings accoun

GILT and Sector fund

Liquid and Current account

15 / 50

An investor invested Rs.100000/- in a 370 days FMP and got Rs. 107750/-, what is capital gain in this case?

750

7750

Insufficient details

10% Plus surcharge or 20% after index benefit

16 / 50

Returns in international fund is dependent on

Asset class performance

Both of the above

Exchange rates

None of the above

17 / 50

An investor plans to invest Rs.12000 in a scheme whose NAV is 12 and FV is 10, how many units is he likely to be obtained.

<1000

cant say

1000

1200

18 / 50

If one wants to know the General Risk Factors, than which documents should he read?

Documents filed with SEBI

Scheme Information Documents (SID)

Key Information Memorandum (KIM)

Fund Factsheet

19 / 50

Which of the following is not government saving scheme?

KVP

POST

RBI Bonds

Infrastructure Bonds

20 / 50

Probabilities of losing money in equity is negligible if investment horizon is for at least

3 years

6 months

5 years

1 years

21 / 50

Performance of fund must always be measured relative to the

Benchmark

Investment objective

Asset Class

Index

22 / 50

Credit rating enables an investors to judge the

Interest rate risk

Duration of loan

Extent of securities against the borrowing

Risk of default by borrower

23 / 50

Identify the True statement/s:

A) An Addendum must accompany the KIM B) Addendum is considered to be a part of the Scheme related documents

Both A and B are True

Only A is true

Only B is True

None of them are True

24 / 50

If absolute return was 2.4% over 50 days, annualized return would be____________

0.024

1.2

0.05

0.175

25 / 50

Balance funds are for

Highly conservative

highly aggressive investor

Moderate conservative

Aggressive investors

26 / 50

Unaudited accounts of the scheme must be published

Only on AMC's website

Only at AMFI website

through monthly fact sheet

Once every six month in one national & Regional news paper

27 / 50

Offering for repurchase, constant amounts worth of units at regular interval basis is called

STP

Value investment

SWP

SIP

28 / 50

STT is charged on

All of the above

Equity share trading

Equity MF

Derivatives trading

29 / 50

Capital gain or loss from mutual fund investment are classified as a short
term investment are if sold within

12 months

9 months

6 months

13 months

30 / 50

SIP is a good investment strategy because..

It helps regular income for investor

Investor gets units at a discount to NAV

No load investment done

It offers benefits of rupee cost averaging

31 / 50

If a third party payment is to be made for subscribing to a mutual fund scheme, then which of the following is/are essentially required?

The minimum investment has to be Rs. 50,000

The third party should also have a folio with the mutual fund

The third party has to provide PAN details and als comply with KYC norms

None of these

32 / 50

Time stamping arrangement is must at...

Bank distributor's branch

Offices declared as point of acceptance.

AMC offices

Offices of distributors

33 / 50

A company's PE ratio may be low because it is unlikely to replicate it's past performance

TRUE

FALSE

34 / 50

An investor seeking capital appreciation, having high risk tolerance and
long term horizon must invest in

Bank FD

Bonds

Real-Estate

PPF

35 / 50

Mutual funds in India are not permitted to invest in

Real estate

Gold

Secularized deb

Art

36 / 50

NRI can not make repartition investment in MF using demand draft.

FALSE

TRUE

37 / 50

Mr. Mahesh invests Rs. 2,00,000 in a mutual fund with a face value of Rs. 10 and NAV of Rs. 50. How many units will be allotted to him?

Will be lower than 20000 units due to entry load

4000 units

20000 units

Will be lower than 4000 units due to entry load

38 / 50

Which of the followings is physical asset?

Real estate fund

Real estate

Securised deb

Gold future

39 / 50

Fundamental analysts are called "Chartists"

TRUE

FALSE

40 / 50

A Trader believes that he can always outperform the market. This is an example of __________.

Overconfidence / Optimism bias

Herd Mentality bias

Anchoring bias

Recency bias

41 / 50

The information on minimum investment amount, investor's service centers, and how to make purchase is provided in.

KIM

Application form

Nomination Form

None of the above

42 / 50

While evaluating return for an index fund across a peer group, which of the following is more important?

BETA Coefficient

R-squared

Tracking error

Past performance

43 / 50

A mutual fund distributor is paid commission for..

First 5 years of Investment done by investor

First 10 years of investment done by investor

As long as investor held the investment

First 3 years of Investment done by investor

44 / 50

Liquid funds can not charge management fees of funds parked in a short term bank deposits

FALSE

TRUE

45 / 50

Investor invest 50 lakh in GILT at 3.30 pm with a local cheque. he gets NAV of

Next business day

Same day

Next preceding day

Closing NAV of day fund are available

46 / 50

Index funds are safer because their NAV does not go down

TRUE

FALSE

47 / 50

Which of the following is true

STT is payable when investor purchase debt MF

STT is payable when investor does redemption from equity MF

STT is payable when investor purchase equity MF

STT is payable when investor sale debt MF

48 / 50

An investor looking for capital appreciation, having a high risk tolerance
and long tem horizon must invest in

Bank FD

Gold

Equity

Bonds

49 / 50

Exit loads are generally lower for large investors

True

False

50 / 50

The lower risk among equity fund is

Growth fund

Dividend yield fund

Value Fund

Index Fund

Your score is

This Mock Test will help you familiarize yourself with the exam format, assess your knowledge, and identify areas that may need further study.

Remember that while mock tests can benefit practice, it’s important to understand the concepts and principles behind each question thoroughly.

Good luck with your preparation for the NISM Series V-A exam!

Mock Test 1 | Mock Test 2 | Mock Test 3 | Mock Test 4 | Mock Test 5 | Mock Test 6 | Mock Test 7 | Mock Test 8 | Mock Test 9 | Mock Test 10

For the latest and most accurate information, please visit the NISM website at https://certifications.nism.ac.in/nismaol/.