FinanceInsights has created mock tests for the NISM Investment Adviser X-A Level 1 exam. Questions are based on NISM Investment Adviser X-A Level 1 Workbook Version – Jul 21.
FinanceInsights has created a bank of about 700 questions.
Every time you take the mock test, 100 random questions from the question bank will be presented. Each question will carry 1 mark each. There will be negative marking of 25%. This bank of questions covers the entire syllabus and can be used to learn the course content.
Click Next to continue.
1.
If Senior Citizens’ Savings Scheme (SCSS) is prematurely closed after expiry of 2 years, ___of deposit shall be deducted.
2.
Calculate the return of the above portfolio.
3.
Standard deviation measures the fluctuations in periodic returns of a scheme in relation to _____.
4.
You want to sell 10,000 shares of a company but you find that the volume on a particular day is just 800 shares. This gives rise to ___________ (from NISM)
5.
Scheme returns published in MF advertisements are often factoring in exit load, if any.
6.
Interest earned on Post Office Recurring Deposit (PORD) is _____.
7.
GST is payable by any person making taxable supplies of goods/services and whose annual turnover exceeds Rs. __ lakhs.
8.
Ravi owns real estate worth Rs.50 lakhs, investments and bank balances valued at Rs.10 lakhs, and Rs.5 lakhs is lying in provident fund account. The real estate was bought with a loan of Rs. 30 lakhs, of which Rs. 10 lakhs is currently outstanding. He also has credit card dues of Rs. 2 lakhs and a loan of Rs.1 lakh from a friend. Calculate his leverage ratio.
9.
Interest earned from Senior Citizens’ Savings Scheme (SCSS) is tax-free.
10.
State governments don't issue treasury bills.
11.
The NSE platform for transacting in mutual funds is called _____.
12.
G-Secs pay coupon on ______ basis.
13.
In a P2P lending process the lender is– (from NISM)
14.
Above is a portfolio of stocks along with their individual betas. Calculate the beta of the portfolio.
15.
Improving risk-adjusted returns of a portfolio implies–
16.
How many Sukanya Samriddhi Accounts (SSA) can a guardian open per girl child and for how many girl children?
17.
In the avalanche mode of repayment of loan the amount paid first is the– (from NISM)
18.
Small businesses, marginal farmers, micro and small industries and other entities in the unorganized sector can get loans from _______.
19.
During a recession, real estate prices _____.
20.
Risks that impact the entire economy are known as _____ risks.
21.
The minimum investment value in AIF is Rs. ______.
22.
For redemptions and switch outs in liquid funds the cut off time is ____.
23.
Standard deviation is equal to the square root of variance.
24.
An AIF consists of __________ funds. (from NISM)
25.
Senior Citizens’ Savings Scheme (SCSS) offers tax benefit under section 80C.
26.
Equity shareholders get the ______ claim on the assets of the company. (from NISM)
27.
What is the blizzard strategy for paying off debt?
28.
_______ the Sharpe ratio, better is the portfolio’s risk adjusted performance.
29.
As per SEBI regulations, the minimum investment in equity and equity related instruments of small cap companies in case of small cap funds shall be —
30.
The BSE platform for transacting in mutual funds is called _____.
31.
In case of bonus issues, where the shareholders’ approval is not required, the bonus issue must be completed within ___days of the board’s approval.
32.
An investment on behalf of a minor cannot have joint holders.
33.
Governments and public sector companies issue ____, while private sector companies issue ____.
34.
As per SEBI regulations, medium to long duration funds can invest in debt and money market securities with Macaulay duration of —
35.
If the stock market moves up or down by 15% between 1 pm to 2 pm, for how long is trading halted? Also what is the duration of the pre-open call auction session post market halt?
36.
Financial planning refers to the process of streamlining the income, expenses, assets and liabilities of the household or individual to take care of _______ for funds.
37.
If a resident subsequently becomes an NRI during the prescribed term of the PPF, he/she may continue to subscribe to the fund till its maturity on a _____ basis.
38.
Let's assume all days except Tuesday, Saturday and Sunday are business days. Rakesh submits an application on Monday to redeem units of an equity fund after cut off time. What NAV will be applied?
39.
To avoid investors going through KYC repeatedly with each AMC, SEBI has permitted setting up of ____.
40.
Above is a portfolio of stocks along with their individual betas. Calculate the beta of the portfolio.
41.
There is no benefit of diversification when two assets are having perfect negative correlation between them.
42.
National Savings Certificates (NSCs) can be purchased by any entity – individuals, NRI, HUF, Companies, trusts, societies, or other institutions.
43.
What is the duration and minimum market order of Commerical Papers (CPs)?
44.
Calculate the effective yield of a bond paying annual coupon of 4.2% if the coupon is paid every month.
45.
In a defined contribution structure, all employees of the same rank get the same amount of pension.
46.
Investors' return from a scheme and the scheme's returns are always the same.
47.
If a banking customer is not satisfied with grievance resolution by the bank, he can approach the banking ombudsman which forwards his grievance through ___________ to the respective bank for resolution.
48.
It is mandatory to use ASBA (Application Supported by Blocked Amount) facility to apply for public issues.
49.
Exchange Traded Funds (ETFs) are ________ investments. (from NISM)
50.
As per the SEBI Act, any person aggrieved by an order of the SEBI Board/Act, IRDAI or PFRDA may appeal to the ___ having jurisdiction in this matter.
51.
Let's assume all days except Tuesday, Saturday and Sunday are business days. Rakesh submits an application on Monday to buy units of an equity mutual fund scheme for Rs. 3,00,000. The funds are realized on Wednesday by 2 pm. What NAV will be applied?
52.
Calculate the CAGR: Investment amount: Rs 10,000 @NAV of Rs 10; Investment date: 30 Jun 2019; First Dividend paid: Re 1 per unit; First Dividend date: 1 January 2020; Ex-dividend NAV: Rs 12.50; Second Dividend paid: Re 1 per unit; Second Dividend date: 1 January 2021; Ex-dividend NAV: Rs 15.
53.
Kisan Vikas Patra (KVP) can be prematurely encashed ____ years from the date of issue.
54.
As per SEBI regulations, money market funds can invest in money market instruments having maturity up to —
55.
If the market interest rate is above the coupon rate of a bond, the bond will sell at a ______to the par value.
56.
An investment with a beta of 0.8 will move ____% when the market moves 10%.
57.
These funds combine features of both open-ended and close-ended schemes.
58.
The investment of funds by insurance companies is regulated by the norms laid down by _____________. (from NISM)
59.
What is the formula for Free Cash Flow for Equity shareholders?
60.
Term money market is _______ lending and borrowing of funds.
61.
In case of an equity savings fund, the minimum investment in equity and equity related instruments and the minimum investment in a debt shall be —
62.
Tactical asset allocation is also referred to as —
63.
A hedge fund classifies as a _____. (from NISM)
64.
Market risk is measured by ____.
65.
Third party payments or payments made through an instrument issued from a bank account other than that of the investor mentioned as the first holder in the application form, is accepted for payment for investing in capital markets.
66.
In case of demat shares, the depository (not the shareholder) is entered in the register of members of the company.
67.
If an investment adviser fails to comply with the regulations made by SEBI, such investment adviser shall be liable to penalty which shall not be less than Rs.___ but which may extend to Rs. ____ for each day during which such failure continues subject to a maximum of Rs.___.
68.
An initial public offer shall be kept open for at least ____ working days and not more than ___ working days.
69.
As per the SEBI Issue of Capital and Disclosure Requirements (ICDR) Regulations, 2018, ‘Retail individual investor/shareholder’ means an individual investor/shareholder who applies or bids for specified securities for a value of not more than Rs. __ lakh.
70.
What is the Modigliani-Miller Theorem (M&M)?
71.
In case of G-Secs, if maturity date falls on a holiday, the repayment is made on the _____ working day.
72.
The RTGS system for money transfer is for transactions of Rs. ____ and above.
73.
An Indian investor invested Rs 7.5 lacs in an US equity fund when the Indian Rupee was 79 per US dollar. The fund has generated a return of 15%. During the period rupee depreciated to 82 per US dollar. What is the return investor has made?
74.
As per SEBI regulations, the minimum investment in equity and equity related instruments by value funds shall be —
75.
The legality of pre-nuptial agreements has been established in India.
76.
Rakesh availed the services of a portfolio manager by handing over a portfolio worth Rs 50 lakh. The portfolio manager's fees were on profit sharing basis. In one year, Rakesh's portfolio value rose to Rs 60 lakh. The portfolio manager charged performance fee on Rs 10 lakh (the rise in the portfolio value). Next year, the portfolio value dropped to Rs 55 lakh. How much will the portfolio manager charge for performance fee as per the high watermark principle?
77.
One of the features of art is that there are no _________. (from NISM)
78.
The measure of performance which divides the portfolio's risk premium by the portfolio's beta is the _________. (from NISM)
79.
Maximum amount to be deposited in PPF per financial year is:
80.
Lower the correlation between assets in a portfolio, _____ the benefits of diversification.
81.
If Post Office Monthly Income Scheme (POMIS) account is closed between 1 and 3 years of opening, __ of the deposited amount is deducted as penalty.
82.
As per SEBI regulations, the minimum investment in equity and equity related instruments in case of multi-cap funds shall be —
83.
Credit Default Swaps (CDS) help unbundle _______ risk in a debt security.
84.
An individual Investment adviser cannot offer a client both advisory and _______ services. (from NISM)
85.
The age limit in Senior Citizens’ Savings Scheme (SCSS) applies to both first holder and joint holder.
86.
Calculate the dirty price of a bond with the following parameters: Settlement date: 12-Aug-20; Maturity date: 11-May-30; Coupon: 5.90%; Present yield: 5.79%; Interest frequency: semi annual; Last coupon date: 11-May-20.
87.
Uday bonds were special securities issued by State Governments for financial turnaround of _______.
88.
Capital protection funds are —
89.
When an NRI becomes a Resident Indian, all balances in his NRE /FCNR (B) accounts are transferred to ___________.
90.
Rolling returns are ______ calculated for multiple consecutive holding periods.
91.
If an investor does not have permanent account number (PAN), he has to provide ______.
92.
The Tri Party Repo Dealing System (TREPS) anonymous order matching trading platform is provided by _______.
93.
As per SEBI regulations, investments of a balanced hybrid fund shall be —
94.
Indicated above are monthly returns of two schemes. Calculate the variance in returns.
95.
Housing finance companies are regulated by _______.
96.
Computation of 'Alpha' returns should ideally be restricted to _____ schemes.
97.
Kisan Vikas Patra (KVP) is transferable.
98.
NBFCs can accept deposits and issue chequebooks, just like a bank.
99.
A derivative is a contract whose value is derived from the value of __________ (from NISM)
100.
Treynor Ratio comparisons should ideally be restricted to _____ schemes.
