Professional Documents
Culture Documents
d.
c.
d.
d.
f.
g.
h.
e.
f.
g.
h.
50%
40%
25%
10%
76. The offer document for a scheme should describe how the
NAV of the scheme is to be computed
e. True
f. False
77. An offer document contains an AMC's investor grievance's
history for the past
e. one fiscal year
f. 2 fiscal years
g. 3 fiscal years
h. six months
78. Any pending cases or penalties levied on the sponsors or AMC
should be disclosed in the offer document
e. True
f. False
79. Who among the following are not eligible to invest in MF
e. Indian Companies
f. Banks
g. Non Banking Finance Companies
h. Foreign Citizens
80. NRIs are eligible to invest in Mutual Funds
a. True
b. False
81. The most important link between Mutual Fund and Investors
is
e. Government
f. SEBI
g. Fund distributors
h. AMFI
l.
97. Though the offer document of a scheme is prepared as per
SEBI Regulations and is filed with SEBI, SEBI does not certify
the accuracy or adequacy of the document
f. True
g. False
98. The following need not be covered in a Key Information
Memorandum
c. Risk Factors
d. Opening, Closing and earliest Closing Date of the offer
e. Disclaimer Clause
f. Functions and responsibilities of the sponsor, trustees,
AMC and Custodian responsibilities
99. The front page of an offer document need not cover
e. opening, closing and earliest closing date of the offer
f. disclaimer clause
g. legal and regulator compliance
h. price of units
100. A "glossary" of Defined Terms must be included in the offer
document
e. True
f. False
g.
h.
i.
j.
Offer document
h.
i.
j.
i.
j.
i.
j.
k.
l.
quarterly
annually
on a day to day basis
when actually paid
k.
l.
m.
n.
Financial Ministry
Securities & Exchange Board of India (SEBI)
Fund Sponsor
Association of Mutual Funds of India (AMFI)
p.
the bankers
166. The fund sponsors should have a sound financial track record
of
k. 7 years
l. 12 months
m. 5 years
n. 3 years
167. The networth of an asset management company should be
greater than
m. Rs.100 Crores
n. can be decided by the Sponsor
o. should be atleast Rs. 10 Crores at all times
p. should be greater than Rs.10 Crores
168. The AMC and directors are answerable to
k. Stock Exchanges
l. The Board of Trustees
m. Agents and distributors
n. Stock Brokers
169. The role of an AMC is to act as
1. promoters
2. investment managers
3. distribution agents
4. regulators
170. A change in the following key people does not materially
impact the performance of the fund
m. Fund sponsors
n. Trustees of the fund
o. Fund Manager
p. Members of the AMFI Committee
171. To transfer the management of a scheme from one AMC to
another, the consent of the following is required
k. SEBI
l. Unit holders
m. both SEBI and unit holders
n. none of the above
172. As per SEBI's principles, the AMC and the Board of Trustees
of a fund should belong to the same sponsors
l. True
m. False
173. After UTI, the first mutual funds were started by
k. private sector banks
l. public sector banks
m. financial institutions
n. non-banking finance companies
174. The highest authority among the following is the
k. SEBI
l. Company Law Board
m. RBI
n. Ministry of Finance
175. The entity that SEBI does not regulate is
m. share registrars
n. mutual funds
o. stock exchanges
p. non-banking finance companies
n.
176. The accounts and all other records of an AMC are filed with
k. AMFI
l. Registrar of Companies
m. Agents' Association
n. UTI
177. A close-ended scheme of a mutual fund is not governed by
m. Exchange Rules of the stock exchange where it is listed
n. Listing Agreement between the fund and the stock
exchange
o. guidelines issued by the Ministry of Commerce
p. Companies Act provisions relating to transactions in
securities
no entity at all
i.
j.
k.
l.
q.
r.
True
False
t.
222 Investors are totally exempt from paying any tax on the
dividend income they receive from mutual funds
n. True
o. False
r.
p.
False
257. Call or put provisions are used to modify the fixed maturity
of debt securities
u. True
v. False
s.
t.
u.
v.
287. When interest rates for similar maturities' bonds are 11%,
bond with a 9% coupon rate will sell
s. above par
t. below par
u. at par
v. at a price unrelated to the interest rates for similar
securities
288. The most suitable measure for a fund's performance does not
depend on the
s. type of fund
t. investment objective of the fund
u. financial market conditions
v. amount invested by investor
289. If the NAV of an open-ended fund was Rs.16 at the
beginning of the year and Rs.22 after 13 months, the annualised
change in NAV is
s. 6.0%
t. 34.6%
u. 40.6%
v. 37.5%
290. Change in NAV as a measure of fund performance is more
suitable for
u. growth funds
v. income funds
w. funds with withdrawal plans
x. none of the above
291. The difference between NAV change and total return as
measures of fund performance is
q. none
r. total return takes dividend into account while NAV
change does not
s. total return does not take NAVs into account
t. total return does not take the time period into account
292. The most suitable measure of fund performance for all fund
types is
s. NAV Change
t. Total Return
u. Total Return with reinvestment
v. none of the above
293. The expense ratio used for measuring fund performance is an
indicator of
q. product market condition
r. growth in the economy
s. prevalent market practices
t. the fund's efficiency
294. The Expense Ratio as a measure of a fund's performance is
defined by a fund's
q. total expenses and average net assets
r. total expenses and total assets
s. average expenses and average net assets
t. none of the above
295. While computing the Expense Ratio for a fund, brokerage
commissions on the fund's transactions are not included in the
fund expenses
q. True
r.
False
z.
registrar's fees
z.
u.
v.
y.
z.
425. All debt fund investors are exposed to risk of principal loss
ee. True
ff. False
426. Running a money market mutual fund requires more of
cc. credit analysis skills
dd. equity analysis skills
ee. patience
ff. trading skills
427. Which is the most important in selecting debt fund for better
return
ee. past performance
ff. level of interest rates
gg. fund expertise
hh. the securities in which it has invested
428. Investors should be advised to avoid investing in a debt fund
with a
cc. lower rated portfolio and higher expense ratio
dd. higher rated portfolio and lower expense ratio
ee. lower rated portfolio and lower expense ratio
ff. lower rated portfolio and higher expense ratio
429. An ideal money market mutual fund must have
cc. lower returns
dd. lower expense ratio
ee. low quality of investments
ff. all the above
453 If a unit-holder does not agree to the merger of his fund with
another, he has not exit option
kk. True
ll. False
454. The most important factor look for when investing in a
corporate fixed deposit is the
kk. yield
ll. rate of interest
mm.
credit rating of the deposit
nn. none of the above
455. The most important reason for an investor to prefer a bank
deposit to a mutual fund is
gg. the credit worthiness of the bank
hh. because the bank does not invest in securities
ii. that the bank offers a guarantee
jj. all of the above
456. A deep discount bond
ii. is always sold at a discount to its issue price
jj. bears interest annually
kk. is redeemed at a price much higher than issue price
ll. bears interest at varying interests
457. A mutual fund in India is a
ii. body corporate
jj. company
kk. trust
ll. an asset management company
458. When selling a mutual fund, a good agent would never
kk. describe the past performance of the scheme
ll. compare the fund with other mutual funds
mm.
assure a rate of return
nn. compare the fund with other financial products
459. An investor buys one unit of a fund at an NAV of Rs.20. He
receives a dividend of Rs.3 when the NAV is Rs.21. The unit is
redeemed at an NAV of Rs.22. Total Return is
ee. 25.71%
ff. Rs.27.51
gg. 21.27%
hh. Rs.21.75
460. A fund sells 100 units of face value Rs.10/- at an NAV of
Rs.12.25. How much would be credited to unit capital?
ii. Rs.1225
jj. Rs.225
kk. Rs.1000
ll. none of the above
461. When a scheme with assured returns is being launched,
which of the following need not be published in the offer
document?
ii. Means of fulfilling the guarantee
jj. Information for all schemes launched by the fund in the
past
kk. comparison with other mutual funds
ll. Investment objective
462. Mutual fund units can be distributed by
ee. trustees of the fund
489. The units of a scheme being sold and repurchases as per the
procedure laid down is one of the fundamental attributes of a
scheme
ii. True
jj. False
Ans
b
b
d
d
c
c
b
c
d
c
b
b
d
c
b
d
b
d
c
c
b
d
c
a
d
d
c
b
c
d
b
c
b
b
b
c
b
c
a
b
b
a
b
c
b
b
c
b
B
A
Q. No
51
52
53
54
55
56
57
58
59
60
61
62
63
64
65
66
67
68
69
70
71
72
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74
75
76
77
78
79
80
81
82
83
84
85
86
87
88
89
90
91
92
93
94
95
96
97
98
99
100
Ans
a
d
b
d
c
c
c
c
b
d
c
a
d
d
b
c
c
d
c
d
b
b
d
d
c
a
c
a
d
a
c
b
b
b
d
a
b
c
b
b
b
c
c
b
a
b
a
d
c
a
Q. No
101
102
103
104
105
106
107
108
109
110
111
112
113
114
115
116
117
118
119
120
121
122
123
124
125
126
127
128
129
130
131
132
133
134
135
136
137
138
139
140
141
142
143
144
145
146
147
148
149
150
Ans
d
a
b
c
a
d
a
d
d
b
b
c
a
d
d
b
b
a
c
a
b
c
a
d
c
d
d
a
d
a
d
a
b
c
b
d
a
c
b
c
a
b
c
b
d
c
d
c
b
c
Q. No
151
152
153
154
155
156
157
158
159
160
161
162
163
164
165
166
167
168
169
170
171
172
173
174
175
176
177
178
179
180
181
182
183
184
185
186
187
188
189
190
191
192
193
194
195
196
197
198
199
200
Ans
c
d
d
d
b
a
c
d
a
d
a
d
c
c
b
d
c
b
b
d
c
b
b
d
d
b
c
c
c
c
d
b
d
c
b
a
c
a
d
b
d
b
b
a
d
b
c
c
b
a
Q. No
201
202
203
204
205
206
207
208
209
210
211
212
213
214
215
216
217
218
219
220
221
222
223
224
225
226
227
228
229
230
231
232
233
234
235
236
237
238
239
240
241
242
243
244
245
246
247
248
249
250
Ans
b
d
b
d
b
c
a
d
a
c
b
d
d
a
a
a
b
b
b
d
b
a
b
a
c
a
c
c
b
b
d
a
b
b
c
c
c
a
b
b
b
b
a
b
c
a
a
c
c
a
A
n
s
a
b
d
c
c
a
a
d
b
a
c
b
b
c
a
b
a
b
a
d
b
b
b
b
b
c
b
a
b
a
b
a
b
c
c
b
b
d
c
a
b
c
d
a
a
c
d
b
c
b
Q. No
301
302
303
304
305
306
307
308
309
310
311
312
313
314
315
316
317
318
319
320
321
322
323
324
325
326
327
328
329
330
331
332
333
334
335
336
337
338
339
340
341
342
343
344
345
346
347
348
349
350
A
n
s
a
a
a
d
b
b
d
d
b
a
d
c
d
d
c
b
b
b
b
a
a
c
d
b
a
b
b
c
b
b
a
a
b
d
c
d
b
d
d
b
s
d
c
d
d
c
b
b
b
a
Q. No
351
352
353
354
355
356
357
358
359
360
361
362
363
364
365
366
367
368
369
370
371
372
373
374
375
376
377
378
379
380
381
382
383
384
385
386
387
388
389
390
391
392
393
394
395
396
397
398
399
400
A
n
s
b
a
d
b
b
d
a
b
d
b
d
a
b
c
b
b
c
c
b
a
b
b
a
b
a
d
d
a
c
a
b
b
a
d
c
b
a
c
a
c
b
c
d
b
b
c
b
a
b
b
Q. No
401
402
403
404
405
406
407
408
409
410
411
412
413
414
415
416
417
418
419
420
421
422
423
424
425
426
427
428
429
430
431
432
433
434
435
436
437
438
439
440
441
442
443
444
445
446
447
448
449
450
A
n
s
b
c
c
b
a
c
c
d
d
a
c
b
c
a
b
a
a
a
b
b
a
a
a
b
a
d
c
a
b
c
c
c
c
b
c
b
b
b
c
d
c
c
d
b
d
d
a
d
b
b
Q. No
451
452
453
454
455
456
457
458
459
460
461
462
463
464
465
466
467
468
469
470
471
472
473
474
475
476
477
478
479
480
481
482
483
484
485
486
487
488
489
490
491
492
493
494
495
496
497
498
499
500
A
n
s
a
b
b
c
a
c
c
c
a
c
c
d
d
c
d
a
c
d
b
c
b
a
c
c
c
a
d
c
b
b
a
b
b
a
c
b
b
c
a
c
b
c
b
c
c
c
c
c
d
b