Mock Test 2 - TheMFCentral

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NISM V-A Mock Test 2

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

1 / 50

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

9 months

12 months

6 months

13 months

2 / 50

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

Same day

Next working day

Closing NAV of Day immediately preceding the date of application

Closing NAV of Day immediately preceding next business day

3 / 50

Index funds are safer because their NAV does not go down

FALSE

TRUE

4 / 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?

20000 units

4000 units

Will be lower than 20000 units due to entry load

Will be lower than 4000 units due to entry load

5 / 50

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

1 years

3 years

6 months

5 years

6 / 50

Time stamping arrangement is must at...

Offices of distributors

Bank distributor's branch

AMC offices

Offices declared as point of acceptance.

7 / 50

Returns in international fund is dependent on

None of the above

Asset class performance

Exchange rates

Both of the above

8 / 50

Which of the following is not required for KYC norms.

Proof of Identity

Proof of investment

All of the above

Proof of address

9 / 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

1200

<1000

cant say

10 / 50

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

AGNI

AMFI

none of above

ACE

11 / 50

SIP is a good investment strategy because..

It helps regular income for investor

No load investment done

Investor gets units at a discount to NAV

It offers benefits of rupee cost averaging

12 / 50

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

FALSE

TRUE

13 / 50

The lower risk among equity fund is

Growth fund

Value Fund

Index Fund

Dividend yield fund

14 / 50

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

R-squared

BETA Coefficient

Past performance

Tracking error

15 / 50

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

Key Information Memorandum (KIM)

Fund Factsheet

Scheme Information Documents (SID)

Documents filed with SEBI

16 / 50

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

0.05

0.024

1.2

0.175

17 / 50

Unaudited accounts of the scheme must be published

through monthly fact sheet

Only on AMC's website

Only at AMFI website

Once every six month in one national & Regional news paper

18 / 50

Fundamental analysts are called "Chartists"

FALSE

TRUE

19 / 50

Balance funds are for

highly aggressive investor

Aggressive investors

Highly conservative

Moderate conservative

20 / 50

The investment in MF portfolio are valued at

Market value of portfolio

Face value of portfolio

cost of investment

Book value of portfolio

21 / 50

Exit loads are generally lower for large investors

True

False

22 / 50

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

Bonds

Bank FD

Gold

Equity

23 / 50

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

FALSE

TRUE

24 / 50

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

CAGR

Simple annualized

Absolute return

Total return

25 / 50

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

Spread

Treynor

Alpha

Sharpe

26 / 50

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

KIM

Nomination Form

Application form

None of the above

27 / 50

Which of the following is true

STT is payable when investor does redemption from equity MF

STT is payable when investor purchase debt MF

STT is payable when investor sale debt MF

STT is payable when investor purchase equity MF

28 / 50

Mutual funds in India are not permitted to invest in

Real estate

Gold

Art

Secularized deb

29 / 50

Credit rating enables an investors to judge the

Interest rate risk

Risk of default by borrower

Duration of loan

Extent of securities against the borrowing

30 / 50

Which of the followings is physical asset?

Gold future

Real estate

Securised deb

Real estate fund

31 / 50

A mutual fund distributor is paid commission for..

First 5 years of Investment done by investor

As long as investor held the investment

First 10 years of investment done by investor

First 3 years of Investment done by investor

32 / 50

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

Expenses which are incurred to launch the fund

Expenses which are incurred by investors in buying the fund

Expenses which are incurred by the AMC

Expenses which are incurred to manage the fund

33 / 50

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

cant say

Be worse than benchmark return

Be comparable to that of benchmark index

Better than benchmark return

34 / 50

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

Board resolution and Memorandum and article of association

certificate of registration

List of authorized signatories

Trust deed

35 / 50

CRISIL's indicator for highest safety in a debenture is

High

P1+

Good

AAA

36 / 50

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

TRUE

FALSE

37 / 50

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

Value investment

SIP

SWP

STP

38 / 50

Which of the followings are least comparable

GILT and Sector fund

Liquid and Current account

Liquid and Savings accoun

ETF and Index fund

39 / 50

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

Next preceding day

Closing NAV of day fund are available

Same day

Next business day

40 / 50

STT is charged on

All of the above

Equity share trading

Derivatives trading

Equity MF

41 / 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

None of them are True

Only A is true

Only B is True

Both A and B are True

42 / 50

Performance of fund must always be measured relative to the

Benchmark

Asset Class

Investment objective

Index

43 / 50

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

Bonds

Bank FD

PPF

Real-Estate

44 / 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?

None of these

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

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

The minimum investment has to be Rs. 50,000

45 / 50

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

Entry Load

CDSC

Recurring Expenses

Exit load

46 / 50

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

Entire

High

Half of it's

Low

47 / 50

Which of the following is not government saving scheme?

POST

Infrastructure Bonds

RBI Bonds

KVP

48 / 50

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

7750

10% Plus surcharge or 20% after index benefit

750

Insufficient details

49 / 50

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

Herd Mentality bias

Anchoring bias

Overconfidence / Optimism bias

Recency bias

50 / 50

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

FALSE

TRUE

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!

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