Practice Set - 3 | Practice Set | NISM Series V-A: Mutual Fund Distributors Certification Examination

Question 1

Why is 'start with why' important before selecting a mutual fund?

Question 2

A financial objective becomes a financial goal only when it is assigned:

Question 3

A fund investing across company sizes without mandatory fixed percentages for each cap category is most likely:

Question 4

Which of the following is TRUE regarding open-ended schemes?

Question 5

If an investor wants to compare similar mutual fund schemes across AMCs more easily, the main reason this became possible is:

Question 6

According to SEBI classification, a company ranked 180th by market capitalization falls under:

Question 7

Which is the trickiest correct statement about mutual fund risk?

Question 8

Which of the following is the most accurate statement about diversification?

Question 9

Which fund category must invest at least 80% of its assets in large-cap companies?

Question 10

Which of the following is NOT typically a benefit of mutual funds?

Question 11

Which of the following would most likely be classified as a passive fund?

Question 12

If a mutual fund investor expects fixed assured returns similar to a bank FD, the expectation is:

Question 13

Which of the following is the strongest reason for listing close-ended schemes on stock exchanges?

Question 14

A scheme investing primarily in banking, pharma, or IT would most likely be classified as:

Question 15

Why do passive funds generally have lower expense ratios than actively managed funds?

Question 16

Which statement about Focused Funds is correct?

Question 17

A person wants exposure only to the pharmaceutical industry through mutual funds. The most suitable option is:

Question 18

Which feature most clearly differentiates an ETF from a normal open-ended mutual fund?

Question 19

A fund manager in an actively managed equity fund mainly aims to:

Question 20

A Multi Cap Fund requires minimum investment allocation of 25% each in:

Question 21

Which of the following situations best reflects 'choice overload'?

Question 22

An interval fund is best described as a scheme that:

Question 23

If a scheme tracks Sensex and aims only to match its performance, it is most likely:

Question 24

Which statement about NAV is most accurate?

Question 25

Which statement is tricky but correct regarding ETFs?

Question 26

A company ranked 95th by full market capitalization belongs to which category?

Question 27

Which fund is more likely to have higher concentration risk?

Question 28

Which of the following best explains why mutual funds are considered suitable for retail investors?

Question 29

An investor buys units of a close-ended scheme after listing on exchange. The purchase is made from:

Question 30

Practice Set - 3