Test Your NISM-Series-9: Merchant Banking Mock Tests Knowledge in 5 Minutes

1. In which market, securities are issued to investors for the first time? (NISM workbook)

A. Secondary Market B. Currency Market C. Repo Market D. Primary Market

2. Who are the major investors in government securities market in India? (NISM workbook)

A. Banks and Insurance Companies B. Provident Funds C. Pension Funds D. All of the Above

3. The SLR and CRR rates are decided by which of the following regulatory bodies? (NISM workbook)

A. Insurance and Regulatory Authority of India B. Securities and Exchange Board of India C. Reserve Bank of India D. Competition Commission of India

4. Derivatives in which of the underlying assets are allowed in the Indian Market? (NISM workbook)

A. Equities B. Currency C. Commodities D. All of the above

5. The merchant banker leading a public offer is popularly known as the ‘Lead Manager’. State whether True or False. (NISM workbook)

A. True B. False

6. Which Act in the Indian Capital Market deals with laws relating to listed as well as unlisted Companies? (NISM workbook)

A. SEBI Act B. SCRA C. Competition Act 2002 D. All of the above

7. As per the SEBI (Certification of Associated Persons in Securities Markets) Regulations, 2007, a certificate is valid for a period of ______ from the date of grant of certificate or revalidation as the case may be. (NISM workbook)

A. 5 years B. 3 years C. 2 years D. 7 years

8. Which Act aims at prohibiting anti-competitive agreements, abuse of dominant position by enterprises and regulates combinations (acquisition, acquiring of control and M&A), which causes or likely to cause an appreciable adverse effect on competition within India? (NISM workbook)

A. SEBI Act, 1992 B. FEMA, 1999 C. Competition Act, 2002 D. Companies Act, 2013

9. A Merchant Banker applicant should have how many people in his employment who should be experienced to conduct the business of Merchant Banker? (NISM workbook)

A. 2 B. 10 C. 5 D. 7

10. The fees payable by the merchant banker on grant of certificate of registration should be by a demand draft in favour of ‘Association of Investment Bankers of India (AIBI)’ payable at Mumbai. State whether True or False. (NISM workbook)

A. True B. False