NISM Mock Test 3
NISM V-A Mutual Fund Distributor Certification Exam - Online solve question answer banks with mock test practice 100+ question
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Statement of Account is to be sent to investors within ___ days of NFO closure
2 / 23
Open-ended schemes generally offer exit option to investors through a stock exchange
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Which among the following investment avenues does not offer income on a regular basis?
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The objective of asset allocation is risk management.
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According to the Certified Financial Planner – Board of Standards (USA), the first stage in financialplanning is _____________.
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Investor can get into long term investment commitments in ________.
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High yield bond schemes invest in junk bonds
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Fund accounting activity of a scheme is to be compulsorily outsourced
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The assets of the mutual fund are held by ______.
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How much equity would you suggest for a young well settled unmarried individual
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Distribution phase of Wealth Cycle is a parallel of Retirement phase of Life Cycle
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Unit's of ____________ must be listed on the stock exchange.
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AMC directors are appointed with the permission of Trustees.
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Risk appetite of investors is assessed through _______
Risk profiling is an approach to understand the risk appetite of investors - an essential pre-requisite to advise investors on their investments.
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Unit holders can hold their units in demat form
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What is the real rate of return?
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Investment objective defines the broad investment charter.
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Sector funds invest in a diverse range of sectors.
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Model portfolios are a waste of time for financial planners
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Most investor service centers are offices of _______
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SEBI regulates __________.
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Within ___ days of dividend declaration, warrants will have to be sent to investors
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The asset allocation that is worked out for an investor based on risk profiling is called _______.
Strategic Asset Allocation is the ideal that comes out of the risk profile of the individual, the return requirement to meet the goals and the investment horizon. Risk profiling is key to deciding on the strategic asset allocation. The allocation to the various asset classes is not driven by their expected performance. The most simplistic risk profiling thumb rule is to have as much debt in the portfolio, as the number of years of age. As the person grows older, the debt component of the portfolio keeps increasing. This is an example of strategic asset allocation.
Tactical Asset Allocation is the decision that comes out of calls on the likely behaviour of the market. An investor who decides to go overweight on equities i.e. take higher exposure to equities, because of expectations of buoyancy in industry and share markets, is taking a tactical asset allocation call.
Tactical asset allocation is suitable only for seasoned investors operating with large investible surpluses. Even such investors might like to set a limit to the size of the portfolio on which they would take frequent tactical asset allocation calls
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