NISM SERIES V A

MUTUAL FUND DISTRIBUTOR

DEMO

MUTUAL FUND DISTRIBUTORS (AMFI) EXAM

DEMO

Question 1 The basis of Fundamental Analysis is studying the companies

‘Price Volume chart’ and then taking a decision on buying/selling
- True or False ?

(i) TRUE
(ii) FALSE

Question 2 The average net asset of a Mutual Fund scheme is Rs 500 crores
and the investment transactions amounted to Rs 2000 crores in a
year. What is the average holding period of the investments ?

(i) 2 months
(ii) 3 months
(iii) 4 months
(iv) 6 months

Correct Answer 1 FALSE

Answer Fundamental Analysis entails review of the company’s fundamentals

Explanation viz. financial statements, quality of management, competitive position
in its product / service market etc.
Technical analysts study price-volume charts of the company’s share
prices.

Correct Answer 2 3 months

Answer Total Transactions = Rs 2000 cr

Explanation Avg Asset = Rs 500 cr
So 2000 / 500 = 4 times in a year the investments were churned
4 times a year = every 3 months.
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MUTUAL FUND DISTRIBUTOR
DEMO

Question 3 Which of the below is not a high risk fund ?

(i) Banking Sector Fund

(ii) Diversified Equity Fund
(iii) Income Fund
(iv) Pharma Sector Fund

Question 4 Every investor should invest in ____________ as a part of his core

portfolio.

(i) Arbitrage Funds

(ii) Diversified Equity Funds
(iii) Sector Funds
(iv) Thematic Funds

Correct Answer 3 Income Fund

Correct Answer 4 Diversified Equity Funds

 NISM SERIES V A
MUTUAL FUND DISTRIBUTOR
DEMO

Question 5 The NAV of a Mutual Fund scheme is Rs 180. If the exit load is 2%,
what will be the effective re-purchase price ?

(i) 176
(ii) 176.4
(iii) 177.5
(iv) 177.8

Question 6 AMFI is the sole regulator of Mutual Funds in India- True or False ?

(i) TRUE
(ii) FALSE

Correct Answer 5 176.4

Answer Rs 180 less 2%

Explanation 180 X 2 / 100 = 3.6
180-3.6 = 176.40

Correct Answer 6 FALSE

Answer SEBI is the regulator of MF's in India.

Explanation
 NISM SERIES V A
MUTUAL FUND DISTRIBUTOR
DEMO

Question 7 Long Term Capital Gain Tax is Debt Schemes is charged at

_________.

(i) 20% with indexation

(ii) 10% without indexation
(iii) Lower of 1 and 2
(iv) There is no tax on Debt Schemes

Question 8 The scheme in which physical gold is deposited in a bank and

interest is received on such deposit is known as ___________.

(i) Loan against Gold scheme

(ii) Gold Deposit Scheme
(iii) Gold Transfer Scheme
(iv) There is no such scheme

Correct Answer 7 Lower of 1 and 2

Answer In the case of Long Term Capital Gain, investor pays tax at the lower of
Explanation the following:
- 10% plus surcharge plus education cess, without indexation
- 20% plus surcharge plus education cess, with indexation

Correct Answer 8 Gold Deposit Scheme

Answer Gold deposit schemes are offered by some banks in India and are like a
Explanation fixed deposit in gold.
An investor depositing gold receives interest at regular intervals and on
maturity the gold of equivalent weight is returned.
 NISM SERIES V A
MUTUAL FUND DISTRIBUTOR
DEMO

Question 9 The Trustees have to take the consent of Unit Holders

_______________.

(i) when the trustee’s decide to wind up the scheme

(ii) whenever required by 75% of the unit holders
(iii) whenever required by SEBI in the interest of unit holders
(iv) All of the above

Question 10 The date of applicability of the NAV is not dependent on

___________.

(i) scheme in which the money is invested

(ii) time at which the application is submitted
(iii) place at which the application is submitted
(iv) All of the above

Correct Answer 9 All of the above

Correct Answer place at which the application is submitted

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 NISM SERIES V A
MUTUAL FUND DISTRIBUTOR
DEMO

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