Test Your NISM-Series-19E: Category III Alternative Investment Fund Managers Mock Tests Knowledge in 5 Minutes

1. What is the primary purpose of the workbook for the NISM-Series-XIX-E examination?

A. To endorse specific investment strategies B. To assist candidates in preparing for the certification examination C. To provide investment advice D. To serve as a guide for advertising AIF products

2. The additional return required by the investor over and above the normal rate of return, when the investment is risky is called ________.(NISM workbook)

A. Alpha B. Risk free rate of return C. Risk premium D. Both b & c

3. Future value of the investment is influenced by __________.(NISM workbook)

A. Rate of return B. Time period C. Both a & b D. None of the above

4. Which of the following is the function of the secondary markets?(NISM workbook)

A. Provide information about public companies B. Provide a platform for making public issues C. Provide liquidity for securities issued D. All the above

5. Which of the following is a distinguishing feature of primary market?(NISM workbook)

A. It enables issuers to raise capital. B. It originates securities into the market. C. It helps in intermediation between investors and issuers. D. All the above

6. ____________________ represent ownership in a company that entitles its holders to participate in its profits and the right to vote on the company’s affairs.(NISM workbook)

A. Bonds B. Equity Shares C. Commercial Papers D. All the above

7. Financial assets are generically classified into two broad categories __________.(NISM workbook)

A. Debt & Equity B. Equity & gold C. Real estate & gold D. Bonds and deposits

8. In India, the Central Government issues ____________.(NISM workbook)

A. Treasury bills B. Dated securities C. Certificate of deposits D. Both a & b

9. Alternative investment is defined as a _________ that does not fall into one of the conventional investment categories.(NISM workbook)

A. financial planning B. mutual fund C. financial asset D. personal property

10. The following is an example of alternative investment.(NISM workbook)

A. Investment in Exchange traded futures B. Purchase of commercial real estate C. Investment in AAA listed bond D. Investment in Government securities