NISM Series V A Mutual Fund Distributors Paper 12

Q1.Do mutual Funds give more investment options as compared to National Pension Scheme - State True or False?
 True
 False

 

Q2.If an investor wishes to beat the benchmark and is also ready to bear the risks, then he should opt for Actively managed funds - State True or False?
 True
 False

 

Q3.If the fund manager of a debt fund is expecting the interest rates to rise, he will ______.
increase the exposure to longer-term fixed-rate debt securities
switch the portfolio towards a higher proportion of floating-rate instruments
The fund manager cannot do much as all his money is generally fully invested
 None of the above

 

Q4.The risk appetite of investors is assessed through ____.
 Asset Allocators
 Financial Plan
 Risk Profilers
 Risk Appetizers

 

Q5.Liquid schemes are a variant of debt schemes that invest only in debt securities of up to 60-days maturity - True or False?
 True
 False

 

Q6.In which of the below funds is the investor unsure of his taxation liability?
 Sectoral Fund
 ELSS Fund
 Gilt Fund
 Flexible Asset Allocation Fund

 

Q7.A minor has one more year to become a major. A 3-year SIP is started in the minors folio. Which of the following statement is true in this case?
 The SIP will be registered for 3 years
 The SIP will be registered for only 2 years
 The SIP will be registered for only 1 year till the investor attains majority
The SIP will be registered for 3 years from the date of attaining the majority

 

Q8.Which of these funds has the highest risk?
 Gilt funds
 Index funds
 Money market funds
 Sector funds

 

Q9.Asset allocation must primarily match __.
 Long term value creation
 Investment needs
 Financial goals
 Tax saving needs

 

Q 10. A Mutual Fund scheme gives a return of 10 % and the beta of that scheme is 0.5. The risk-free return is 7.5%. What is the Treynor Ratio of this scheme?
 0.03
 0.05
 0.075
 0.1

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