NATIONAL INSTITUTE OF SECURITIES MARKETS

Established by the Securities and Exchange Board of India

NISM-Series-II-B: Registrars to an Issue and Share Transfer Agents

Mutual Fund Certification Examination
Curriculum

I.
A.
B.

Introduction to Securities
Categorization of securities into equity, debt and hybrid
Characteristics of securities

II.
A.
B.
C.
D.
E.
F.
G.
H.
I.
J.

Characteristics of Equities
Rights of common shareholders
Par value, Face value and share premium
Dividend calculation and distribution
Authorized capital
Issued capital
Outstanding shares
Paid-up shares
Placement of preferred shares and features
Share buy-back
Rights issue

III.
A.
B.
C.
D.

Characteristics of Other Securities

Warrants
Types of convertible bonds
Types of depository receipts
Fully convertible currency bonds (FCCBs)

IV.
A.
B.
C.
D.
E.
F.
G.
H.

Characteristics of Debt Instruments

Payment terms
Face value
Coupon
Term to maturity
Market value
Current yield
Yield to maturity
Corporate debt securities

NISM-Series-II-B: Registrars to an Issue and Share Transfer Agents Mutual Fund Certification Examination

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NATIONAL INSTITUTE OF SECURITIES MARKETS

Established by the Securities and Exchange Board of India

I.
J.
K.
L.
M.
N.
O.

Government securities
Methods of corporate debt retirement
Types of fixed and floating rate instruments and relevant benchmarks
Standards and significance of credit rating of debt instruments
Types and features of money market instruments
Types and features Government debt securities
Types and features Company fixed deposits

V.
A.
B.
C.
D.
E.
F.
G.
H.
I.

Basics of Mutual Funds

Structure and objective of a mutual fund
Units of a fund, face value and ongoing value.
Benefits of mutual funds to investors
Characteristics of open and closed end funds
Assets Under Management (AUM)
Net Asset Value (NAV)
Unit Capital
Types of mutual fund products and classification by investment category
Returns as dividends and capital gains

VI.
A.
B.
C.
D.
E.
F.

SEBIs Role and Relevant Regulations

Securities market regulatory environment
Powers and Roles of SEBI
Investor Protection
SEBI (Registrars to an Issue and Share Transfer Agents) Regulations, 1993
SEBI (Intermediaries) Regulations, 2008
SEBI (Depositories and Participants) Regulations, 1996

VII.
A.
B.
C.

Structure and constituents of Mutual Funds

Structure of a mutual fund
SEBI guidelines for setting up of mutual funds
Appointment and regulations related to sponsor, trustees and asset management
company
Appointment and regulations related to custodian, Registrar and Transfer (R&T)
agent, banks, auditors and distributor
Role and functions of the R&T agent

D.
E.

NISM-Series-II-B: Registrars to an Issue and Share Transfer Agents Mutual Fund Certification Examination

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NATIONAL INSTITUTE OF SECURITIES MARKETS

Established by the Securities and Exchange Board of India

VIII.
A.
B.
C.
D.
E.
F.

Mutual fund products

Types and features of mutual fund products
Taxability of income and capital gains
Dividend Distribution Tax (DDT)
Securities Transaction Tax (STT)
Payment mechanisms
Role of a collecting bank and the concept of cleared funds

IX.
A.
B.
C.
D.

Applicable NAV and cut-off time

Computation of NAV
Applicable cut off time for various schemes
Applicable NAV
Process of time stamping and related regulations

X.
A.
B.
C.
D.
E.
F.
G.
H.
I.
J.
K.
L.
M.
N.
O.
P.

Purchase, redemption and systematic transactions

Process for fresh purchase and additional purchase
Process for allocation of units
Process for updating of unit capital
Process for notifying the AMC
Statement of Account (SoA)
Dispatch of SoA to investors and reversals
Concept and impact of entry load and exit load
Process for redemption transaction and impact of taxes
Process for NFO
Offer Document
Key Information Memorandum (KIM)
New Fund Offer (NFO) Price
Types and process of switches and systematic transactions
Features of Systematic Investment Plan (SIP)
Features of Systematic Withdrawal Plans (SWPs)
Features of Systematic Transfer Plans (STPs)

XI.
A.
B.
C.
D.

Investor and distributor processes and payouts

Types of mutual fund investors
Process for new folio creation
Process for dividend declaration and payout and related regulations
Functions of an Investor Service Centre (ISC)

NISM-Series-II-B: Registrars to an Issue and Share Transfer Agents Mutual Fund Certification Examination

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NATIONAL INSTITUTE OF SECURITIES MARKETS

Established by the Securities and Exchange Board of India

E.
F.
G.
H.
I.
J.

Process for PAN and Know Your Customer (KYC) verification

Registration process for Nomination and (PoA)
Process and documentation for changes in investor details
Process of transmission of units
Additional requirements for institutional investors
Process of changes in names, authorised signatories of institutional investors

NISM-Series-II-B: Registrars to an Issue and Share Transfer Agents Mutual Fund Certification Examination

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