NISM DEPOSITORY OPERATIONS – 1

1. Question

1 points

The _________ remains the beneficial owner in the records of the depository for the securities held in a minor account until he/she becomes a major

Minor
Guardian
Jointly by Minor and Guardian
Nominee appointed by the Nominee

2. Question

1 points

What is the eligibility criterion for opening a Basic Services Demat Account (BSDA)?

The individual shall have only one BSDA in his/her name across all depositories.
Value of securities held in the demat account shall not exceed Rupees Two Lakhs at any point of time
Individuals who propose to have BSDA should be the Sole / First Holder.
All of the above

3. Question

1 points

Depositories in India:

has no role to play in settlement of dematerialised securities that are to be delivered in the unified segments of connected stock exchanges
replaces the clearing corporation/ house of the exchange that has established electronic connectivity with it
facilitates settlement of both funds and dematerialised securities
only plays the role of a facilitator in settlement of dematerialised securities in those exchanges which have established electronic connectivity with it

4. Question

1 points

Execution date refers to the date of

Date on which depository executes Corporate actions
Date on which an instruction has to be executed
Deadline specified by SEBI w.r.t.instructions
None of the above

5. Question

1 points

It is possible for investors to transpose names of the joint holders alongwith the process of dematerialisation through their DPs

FALSE
TRUE

6. Question

1 points

Which of the following type of Demat is not permitted by SEBI

Transmission-cum-demat
Transfer-cum-demat
Transpostion- cum-demat
All of the above

7. Question

1 points

Payout of securities refer to

Gross receipt of securities from CC/CH for a settlement
Gross deliverables of securities to CC/CH for a settlement
Net receivables of securities from CC / CH for a settlement
None of the above

8. Question

1 points

What is shut period?

It is the period during which a company shall stop registering transfer of the securities
It is the period during which the Stock Exchanges will not operate
It is the period when NSDL shuts it operations
Its the period applicable to G-Sec during which RBI will not register transfer of Sec

9. Question

1 points

The main objectives of the SEBI act are to

Protect the Interest of Investors
Promote Indian capital Market
Regulate Indian Capital Market
All of the above

10. Question

1 points

A Depository company must have a net worth of

Rs.1000 Crore
Rs.100 Crore
Rs.100 Lakhs
Rs.50 Crore

11. Question

1 points

After giving request for Remat of securities a client can receive physical securities within 45 days

TRUE
FALSE

12. Question

1 points

The fee structure of a DP is made available to the account holder

In the billing statement that is being forwarded to the clients
Rights and Obligation Document
Schedule Z of agreement
The dp personnel will explain the fee structure orally to the persons while opening a demat account

13. Question

1 points

Who has permitted NSDL to allot an ISIN for demat shares?

NSCCL
CRISIL
ICICI
SEBI

14. Question

1 points

A broking member registered as a partnership firm, should open its clearing member account with a DP in the

name of any one of the partners
name registered with SEBI
name of all the partners
all of the above

15. Question

1 points

In case of Invocation of Hypothecation, confirmation instructions should be received from ___.

Hypothecator
Hypothecatee
Bank
None of the above

16. Question

1 points

The key term that distinguish one debt instrument from another are

Issuer of the instrument
Face value of the Instrument
Payment terms
All of the above

17. Question

1 points

Within how many days the DP should forward RRF to the Issuer or its R&T Agent after accepting it from the client?

7 days
30 days
15 days
45 days

18. Question

1 points

ICIN for same commodity differs from exchange to exchange.

FALSE
TRUE

19. Question

1 points

Devolution of title to shares can be due to

Death
Lunacy
Bankruptcy
All of the above

20. Question

1 points

As per the PMLA Act 2002, the Compliance Officer of the DP is required to submit a Compliance Certificate every

2 months
One month
6 months
12 months

21. Question

1 points

Every issuer must enter into an agreement with depository for offering its securities for demat. The following is true with respect to the statement made

No. Securities which are listed on the NSE are exempt However, those which are in the 'Permitted-to-trade segment are not exempt
Yes All Issuers must sign an agreement with Depositories
No Securities issued by the Central and State Governments are exempt from signing an agreement
No Issuers which have a market capitalisation of more than Rs 125 Cr are exempt from signing an agreement

22. Question

1 points

Can a Computer generated Bank Statement printed on plain paper serve as address proof?

Yes provided such a bank statement is duly signed and stamped by the authorized official of the bank mentioning the name and designation
No only Original bank statement printed on the stationery of the bank, carrying logo & name of the bank, displaying the name, address & bank transactions of the Client are accepted
Bank Statements are not accepted as Proof of Address
None of the above

23. Question

1 points

If the third character of the ISIN is mentioned as B, what does it indicate?

Central Government is the Issuer
State Government is the issuer
Units issued by Mutual Fund
Issuer is a Banking company

24. Question

1 points

DI slip should contain which of the following details in case securities are being transferred to the clearing member accounts in a market settlement

Name of the stock exchange
Market Type
Settlement Number
All of the above

25. Question

1 points

In the application form for Public Issues Investor has to mention

Depository Name
DP's Name
DP-ID along with BO ID
All of the above

26. Question

1 points

In case of government securities sent for dematerialisation, the DP will endorse the certificates

by writing 'Surrendered for Dematerialisation' on the front of the certificate
by writing 'Surrendered for Dematerialisation' on the reverse of the certificate
by writing 'Surrendered to RBI for dematerialisation' on the reverse of the certificate
by writing 'Tendered for Cancellation and credit to SGL A/c No BYSL0838 of NSDL, Mumbai' on the reverse of the certificate

27. Question

1 points

The securities offered in the public offer can only be traded in the stock exchange in demat form?

TRUE
FALSE

28. Question

1 points

Only a guardian can open a depository account for a minor.

TRUE
FALSE

29. Question

1 points

To get allotments directly in dematerialised form for public offerings the application form should have provision for investors to furnish

Depository and DP name
DP ID and Beneficiary Account number
All of the above
None of the above

30. Question

1 points

How many ISIN can be allotted to an issuer?

Only one ISIN
Multiple ISINS can be allotted depends on the type of securities
Not more than two ISIN
None of these

31. Question

1 points

The following are the transitory accounts

Beneficial Owner account
Clearing Member account and Intermediary account
All of the above
None of the above

32. Question

1 points

Within how many days of request for remat of securities should the client receive the physical securities

45 days
30 days
7 days
15 days

33. Question

1 points

In case of Certificate of Deposit, the minimum size to be subscribed / transacted by investor in Depository system is ________

Rs.10000
Rs.50000
Rs.75000
Rs.100000

34. Question

1 points

Securities Contracts (Regulation) Act, 1956

Ensures Organized trading activity in securities
provides for direct and indirect control of virtually all aspects of securities trading and the running of stock exchanges
prevent undesirable transactions in securities
All of the above

35. Question

1 points

An Investor has opened Demat account in the name Arun Kumar Khanna. He can dematerialise shares held in the form

A.K. Khanna
Arun K. Khanna
A. Kumar Khanna
All are acceptable formats

36. Question

1 points

Securities held in Transitory Account is for commercial purpose only

TRUE
FALSE

37. Question

1 points

Mr.X holds hundred shares of a scrip which is not admitted in the depository. What can he do to get his shares into Demat ?

Write to NSDL/CDSL to create a security in their system
Write to SEBI to introduce the security in the depository
The shares cannot be converted to demat as the security has not been admitted to the depository
None of the above

38. Question

1 points

Among the following which cannot be Dematerialised?

units of mutual funds
unlisted securities
money market instruments
None of the above

39. Question

1 points

Will dematerialization be rejected, if part of certificates in a single DRF pertains to locked-in status

Yes, at discretion of Issuer/R& T Agent
Yes, locked status can dematerialize
Yes, if the lock-in request is 'share issued to employee under the stock opinion scheme.
Yes, always

40. Question

1 points

Separate DRFs have to be submitted for:

Free and locked-in securities only
Each ISIN, Free and locked-in securities and Securities locked-in for different reasons
Each ISIN only
Securities locked-in for different reasons only

41. Question

1 points

As per SEBI regulation the BO should give delivery instruction in physical form for market trades on T+1 by

4 pm
9:00:00 PM
8:00:00 PM
6:00:00 PM

42. Question

1 points

A scrip is available only in CDSL and not in NSDL. An investor demats his holding in CDSL and tries to transfer his balance to his NSDL account

The transaction will go through
The transaction will fail as the security is not admitted in NSDL
Such a situation is not possible as NSDL & CDSL have same securities admitted to them
None of the above

43. Question

1 points

Only those BOs are eligible for corporate action benefits who hold shares on

Record date /one day prior to Book closure start date
January 1 of the year
First day of the financial year
Last day of the financial year

44. Question

1 points

Power of Attorney has to be given on a stamp paper of value

Rs.100
Rs.20
Rs.200
Varies from state to state

45. Question

1 points

In an application for opening an account for Individuals, which one of the following does not form a part of types of accounts?

Ordinary resident
HUF
NRI-Non-Repatriable
FII

46. Question

1 points

Investor Grievances Report to be submitted to Depository by its participants on ________ basis

Monthly
Quarterly
Half Yearly
Annual

47. Question

1 points

DP forwards DRF-GS to Depository within how many days

21
15
3
7

48. Question

1 points

Which of the following can appoint a nominee?

Body Corporate
Individual
Trust
FII

49. Question

1 points

For the securities dematerialized, the Registered owner in the books of the Issuer is

Depository
Depository Participant
Beneficial Owner
All of the above.

50. Question

1 points

In the context of Pledge IRF stands for

Interest Rate Futures
Invocation Request Form
Invocation Repeat Form
Invocation Remove Format

51. Question

1 points

Issuer/R&T Agent shall furnish a list of authorised officials who shall represent and interact with the depository within___________ of the execution of Tripartite agreement

15 days
30 days
45 days
60 days

52. Question

1 points

Account holders who have executed a Power Of Attorney can be denied Delivery Instruction Slip (DIS) books

FALSE
TRUE

53. Question

1 points

For transferring the shares from one account to another , the client has to submit

Delivery instruction for off market trades
No instruction is required
Delivery instruction Slip for both off market & market trades
Delivery out instruction

54. Question

1 points

Payin of securities refer to

Receipt of securities from CC / CH
Delivery of securities to CC / CH
Transfer of securities from client to broker
None of the above

55. Question

1 points

A DP may choose to terminate its participation in the depository by giving_________

30 days notice
15 days notice
3 months notice
6 months notice

56. Question

1 points

The events that affect the rights, obligations and/or interest of the beneficial owner of the securities held in a depository is called as Corporate Action

True
FALSE

57. Question

1 points

An institution engaged in providing financial services where not less than 75% of the equity is held jointly or severally by these institutions, can become a depository.

FALSE
TRUE

58. Question

1 points

When a pledgee initiates invocation on a certain share the invocation will be based on

Face value of the share
Closing price of invocation execution date
Any of the above
Date of creation of pledge

59. Question

1 points

During distribution of dividends, companies should mandatorily print the bank account details furnished by the Depositories on the payment instruments.

TRUE
FALSE

60. Question

1 points

SEBI Regulations, 1996 prescribe a minimum net worth of Rs __________ for the applicants who are stockbrokers or non-banking finance companies , for granting a certificate of registration to act as a DP

5 Crore
50 Lakh
50 Crore
None

61. Question

1 points

The depository acts as a R&T Agent and discharges RTA functions for G-Secs

FALSE
TRUE

62. Question

1 points

___________ facility is used to avail margin exemptions and other applicable benefits.

Early pay-in
Normal pay-in
Auto pay-in
None of the above

63. Question

1 points

Capital Market comprises of

Primary Market and Secondary Market
Primary Market or Secondary Market
Primary Market, Secondary Market or Commodities Market

64. Question

1 points

The ______________ acts as a R&T Agent and discharges R&T Agent functions for G-Secs.

RBI
SEBI
Depository
Stock Exchange

65. Question

1 points

If the lender has unilateral right to appropriate the securities to his account the transaction is called a __________.

Pledge
Hypothecation
Both (a) & (b) above
None of the above

66. Question

1 points

DP issues a separate transaction statement for debt instruments

TRUE
FALSE

67. Question

1 points

A DP may register the transfer of securities to or from a beneficial owners account only on receipt of instructions from the beneficial owner.

TRUE
FALSE

68. Question

1 points

The __________ will forward the application to SEBI to obtain the Certificate of Registration of a Depository

The proposed Depository
Depository Participant
Sponsors or Promoters
Business Partner

69. Question

1 points

_______________ refers to trade in government security wherein both the parties have their beneficial accounts with the same depository

Government Trades
RBI Trades
Depository Trades
Off - Market Trade

70. Question

1 points

Which of the following statements regarding pledging of securities is false?

An Intermediary account is opened for the purpose of Pledge and Hypothecation
In case of pledged balance in demat form, the corporate benefits will flow to the pledgor
The credit of pledged securities remains in the account of the pledgor
For the purpose of pledging of securities, both pledgor and the pledgee must have a beneficiary account with same depository

71. Question

1 points

In an application for opening an account (for individuals only), which one of the following form part of types of accounts?

HUF.
FII.
Bank.
OCB.

72. Question

1 points

In the ISIN INF476D01012, the third alphabet F represents

A company
Units issued by mutual fund
state government security
central government security

73. Question

1 points

In case of Multiple Pledge Transactions entering the Agreement number is optional in CDSL system.

TRUE
FALSE

74. Question

1 points

Which Option provides an investor of demanding repayment on the debt instrument at a time earlier than the final redemption date?

Call Option
Put Option
Early Payin Option
Auto Delivery Out Option

75. Question

1 points

DPs are approved by

SEBI
NSDL
RBI
Securities appellate Tribunal

76. Question

1 points

In the context of Public Issues the Public Offer Control instruction communicated to DP by Depository gives details about the following

Issuer Name
Open date
Closure date
All of the above

77. Question

1 points

Who acts as an electronic RTA when Government is an Issuer?

RBI
Depository
SHCIL
STCI

78. Question

1 points

The agreement between a DP and a client is

Universal
Varies from DP to DP
Stated in NSDL byelaws

79. Question

1 points

Which form is used by Pledgee in case a pledgor defaults on Payments?

Pledge Closure Form
Pledge Invocation Form
Unilateral Pledge Closure form
Pledge creation form

80. Question

1 points

Once the beneficial owner account is opened, can the details regarding Name & Type of Account be changed?

No
Yes, with the prior approval of SEBI.
Yes, with the prior approval of RBI.
Yes, No approval is necessary.

81. Question

1 points

The __________ is entitled to all rights and benefits as well as subject to all liabilities in respect of the securities held in the depository.

Beneficial owner
Depository Participant
Depository
Registered owner

82. Question

1 points

The Rights and Obligations document is between

CDSL and client
NSDL, DP &client
DP & the client
all the above

83. Question

1 points

Which of the following should be mandatorily printed by Issuers on payment instrument?

International securities Identification number
Issuer details
Corporate action details
Bank account details

84. Question

1 points

In Public Issues the accounts of all the successful allottees will be credited with securities on

BOD/ EOD of the allotment date
One day prior to allotment date
On the date specified by Depository (NSDL or CDSL)
On the date specified by Stock Exchanges

85. Question

1 points

In Public Issues the accounts of all the successful allottees will be credited with securities on

BOD/ EOD of the allotment date
One day prior to allotment date
On the date specified by Depository (NSDL or CDSL)
On the date specified by Stock Exchanges

86. Question

1 points

Does DP provide the facility of transmission along with dematerialisation of physical securities?

No
Yes, but only for Nifty and BSE sensex scrips, provided the deceased was holding the securities jointly with other holder
Yes, for all the securities available for dematerialisation with NSDL, provided the deceased was holding the securities jointly with other holder
Yes, always

87. Question

1 points

Which are the documents to be sent in case of joint a/c for transmission

Transmission form along with fresh account opening application
Transmission form along with a copy of notarised death certificate to transmit the securities lying in the account of the deceased to the account of the surviving holders
Only Transmission form
No Objection Certificate(s from all the legal heir(s who do not object to such transmission along with death certificate.

88. Question

1 points

in case of pledge, confirmation is required in DPM of the pledgors DP for transferring securities from pledgors account to pledgees account

TRUE
FALSE

89. Question

1 points

During the time when there was no demat of securuities, for transfer of securities, __________ was evidence of change of ownership.

Endorsement of physical security
Proof of Delivery
Letter of acknowledgement from the transferee

90. Question

1 points

Off market trades are

Trades done after market hours
Trades settled through the CC/CH
Trades not settled through CC/CH
None of the above

91. Question

1 points

The certificate of registration granted to a DP may be suspended by SEBI if it is found that the DP has:

failed to furnish any information relating to its activity as a DP required under the regulations
not co-operated in any inspection or investigation or inquiry conducted by SEBI
has failed to pay the annual fee as specified under the SEBI (D&P) Regulations, 1996
All of the above

92. Question

1 points

Investors do not wish certain securities credited to their demat accounts to be considered for the RGESS, then they will be required to submit declaration in a prescribed format within ______ month from the date of transaction?

5
2
1
3

93. Question

1 points

The DRF used for other securities should be superscribed with DRF-GS in CDSL, whereas a separate DRF known as DRF-GS is used in NSDL and it cannot be used for other securities.

FALSE
TRUE

94. Question

1 points

In the case of Transfer CUM Demat, which of the following is required to be submitted along with physical share certificates at the time of dematerialisation?

Transfer deed
Delivery Instruction
Dematerialisation request Form
Transfer cum Demat is not Possible

95. Question

1 points

The depository as a registered owner has

Only voting rights
All the benefits of the company
All the rights and benefits of the company
No rights and liabilities

96. Question

1 points

All dematerialised securities are:

mandatorily registered in the name of the individual investor
registered both in the name of the individual investor and the depository
mandatorily registered in the name of the depository
registered in the name of either the depository or the individual investor

97. Question

1 points

Dematerialisation request can be rejected by Issuer or R&T agent in case

Physical quantity of shares received by R&T Agent from DP is less than what is mentioned in Demat Request Form
Physical quantity of shares received by R&T Agent from DP is more than mentioned in Demat Request Form.
Name of Holders on certificates received by R&T Agent differs in Demat Request Form received by R&T Agent from DP.
All of the above

98. Question

1 points

Once the commodity’s expiry date is over, investor has to

Close the Demat account
Destroy the commodity
Take Physical delivery of commodity by way of REMAT
None of the above

Average score
Your score

NISM DEPOSITORY OPERATIONS – 1