Practice Set - 1 | Practice Set | NISM Series XXI-B: Portfolio Managers Certification Examination

Question 1

Payoff of a short call option is:

Question 2

Theta measures:

Question 3

Hedging aims to:

Question 4

Basis risk arises when:

Question 5

Which market is most regulated?

Question 6

Which option is out-of-the-money?

Question 7

Options give the holder:

Question 8

Which derivative is traded OTC?

Question 9

Which of the following is a derivative instrument?

Question 10

Delta measures:

Question 11

Initial margin is:

Question 12

Which strategy profits from stable prices?

Question 13

Which participant provides liquidity?

Question 14

Mark-to-market refers to:

Question 15

Speculators in derivatives market aim to:

Question 16

Which option gives the right to sell?

Question 17

Gamma measures:

Question 18

Which derivative is used for interest rate risk?

Question 19

Which contract obligates both parties?

Question 20

Vega measures:

Question 21

A derivative derives its value from:

Question 22

Which option gives the right to buy?

Question 23

Intrinsic value of option refers to:

Question 24

Payoff of a long call option is:

Question 25

Forward contracts are:

Question 26

Time value in options decreases as:

Question 27

Leverage in derivatives means:

Question 28

A futures contract is:

Question 29

Premium in options is:

Question 30

Futures price converges to spot price at:

Question 31

Which participant assumes risk from hedgers?

Question 32

Which option is in-the-money?

Question 33

Which factor increases option premium?

Question 34

Strike price is:

Question 35

Practice Set - 1