Practice Test

Q1) Which of the following Act gives the power to stock exchanges to make their own bye-laws? Show Answer

Q2) The Indian securities market are governed primarily by the five main acts. Show Answer

Q3) Which of the following entity is not require to register with SEBI? Show Answer

Q4) Which of the following entity is/are require to register with SEBI? Show Answer

Q5) SEBI can charge penalty for Insider trading. Show Answer

Q6) Depositories act was passed to ensure competition in the service and more than one depositories in operation. Show Answer

Q7) Companies act applies to the ___________. Show Answer

Q8) A company under the same management or group is an insider. Show Answer

Q9) ___________ is a process of transforming the monetary proceeds derived from criminal activity into funds with an apparently legal source. Show Answer

Q10) Holding company is demanded to be a connected person as per the SEBI (Prohibition of Insider Trading) regulation 2015 Show Answer

Q11) Which of the following is treated as fraud? Show Answer

Q12) Employee having unpublished price sensitive information can communicate it with his friends only. Show Answer

Q13) Stock broker and sub –brokers are one and the same. Show Answer

Q14) To prevent money laundering intermediaries can adopt which of the following measure? Show Answer

Q15) Securities held demat form cannot be sold. Show Answer

Q16) FII can acquire shares in recognized stock exchange only through ___________. Show Answer

Q17) The paperless trading facilitated by depositories enables transfer of large volume of securities fast, while not compromising on security. Show Answer

Q18) Derivative is defined under SC(R)A to include : A contract which derives its value from the prices, or index of prices, of underlying securities. Show Answer

Q19) Which one of the following is not among the major legislations governing the securities market? Show Answer

Q20) Which of the following is not the main objective of SEBI? Show Answer

Q21) SEBI has prescribed the Code of Conduct for the sub-brokers in __________. Show Answer

Q22) Which of the following is NOT true about SEBI? Show Answer

Q23) Section 15 G of SEBI Act provide for __________. Show Answer

Q24) If a stock broker fails to pay the fees as provided in the regulations, the board may suspend the registration certificate. Show Answer

Q25) It is also provided in regulation 15A that a ________ of a stock broker shall not act as a sub broker to the same stock broker. Show Answer

Q26) A stock broker should abide by _________ the provisions of the Act and the rules, regulations issued by the Government, the Board and the stock exchange from time to time as may be applicable to him. Show Answer

Q27) A stock broker can refuse to deal with small investors. Show Answer

Q28) A stockbroker is not required to issue contract note for small transactions below Rs. 2000. Show Answer

Q29) A stockbroker is not required to issue contract note for small transactions below Rs. 5000. Show Answer

Q30) A stock broker can disclose one clients account to other for advertisement. Show Answer

Q31) Which Act is passed in the year 1956? Show Answer

Q32) Stock exchange should have minimum net worth of Rs ___________ billion. Show Answer

Q33) In stock exchange minimum public shareholding should be at least ___________ %. Show Answer

Q34) In India currently how depositories are working? Show Answer

Q35) A depository can directly open account of clients. Show Answer

Q36) The offer under PMLA 2002 is classified under ________ parts. Show Answer

Q37) The offence of money laundering is punishable with imprisonment for term not less than 3 years but which may extend to 7 year and a fine which may extend to Rs ___________ Show Answer

Q38) Which of the following is not a duty of broker? Show Answer

Q39) Unpublished price sensitive information (UPSI) included the following except Show Answer

Q40) Which of the following is treated as unpublished price sensitive information, which can affect the price of securities? Show Answer

Q41) ___________ wall separates the areas of the organization /Firm which have access to confidential information Show Answer

Q42) A willful misrepresentation of truth with a view to deceive the other party is known as ___________. Show Answer

Q43) A broker can disclose transaction of one client to other clients’. Show Answer

Q44) Contract note should be issued compulsorily in hard copy. Show Answer

Q45) SAT refers to ___________. Show Answer

Q46) Under the SC(R)A, contracts in derivatives, shall be legal and valid if such contracts are, Show Answer

Q47) Appeal against the orders Securities and Exchange Board of India can be made to ___________. Show Answer

Q48) _____________ obligates the depositories to maintain ownership records of securities and effect changes in such records electronically at the behest of the owner of the securities. Show Answer

Q49) __________ is also known as ‘sauda book’. Show Answer

Q50) A stock exchange can apply for listing of its securities only after having completed ____ years of continuous trading operations. Show Answer

Q51) The rights and obligations of depositories, depository participants, issuers and beneficial owners are spelt out in which act? Show Answer

Q52) Part ___ of money laundering act include offences counterfeiting currency notes. Show Answer

Q53) Under Part B of PMLA, offences are considered as money laundering if the total value of such offences is Rs ______ or more. Show Answer

Q54) Under PMLA in the event of an order of confiscation all the rights and title in such property shall vest absolutely in the __________ without any encumbrances. Show Answer

Q55) Sections _________ of PMLA lay down the powers of the authorities to carry out surveys, searches and seizures. Show Answer

Q56) Rule _________ of SCRR specifies the rules relating to admission of members of the stock exchange. Show Answer

Q57) According to Rule 15(1) of SCRR every member of recognized exchange shall maintain and preserve for a period of ___________ years. Show Answer

Q58) A partnership firm registered under the partnership act can set up a depository in India. Show Answer

Q59) Under part B of PMLA, 2002 offences are considered as money laundering if the total value of such offences is Rs. _________ or more. Show Answer

Q60) Which of the following is not a general code of conduct for broker? Show Answer

Q61) An organization shall appoint a ___________ who is responsible for setting forth policies and procedures for prevention of insider trading Show Answer

Q62) SEBI in case of any fraud committed and detected can take following action against an intermediary except Show Answer

Q63) A stock broker should not encourage sales or purchase of securities with the object of generating ___________ or commission. Show Answer

Q64) A person having UPSI cannot trade from his own account but can trade form his friends accounts. Show Answer

Q65) Issue of capital by a company, can be managed by an investment bank, that is part of the same group as the broking company, which has come out with a research report on the company. Show Answer

Q66) _________ is / are governed by SEBI. Show Answer

Q67) ______ is an intermediary defined under the SEBI Act. Show Answer

Q68) Which section of SEBI Act empowers to impose penalties? Show Answer

Q69) _______________ Act gives SEBI the jurisdiction over stock exchanges through recognition and supervision. Show Answer

Q70) _________ of SCRR specifies the rules relating to admission of members of the stock exchange. Show Answer

Q71) No person is eligible to become a member if he is less than _______ years of age. Show Answer

Q72) A recognised stock exchange can apply for listing of its securities on other stock exchange. Show Answer

Q73) Which part of PMLA includes offences that has cross border implications. Show Answer

Q74) A stock broker should not advertise its business publicly unless permitted by the stock exchange. Show Answer

Q75) A stock broker should enter into an agreement with its client. Show Answer

Q76) A stock broker should enter into an agreement with the client of the sub-broker. Show Answer

Q77) Which of the following will be deemed to be connected person? Show Answer

Q78) Any change in key personnel is treated as UPSI. Show Answer

Q79) __________ means any act, expression, omission or concealment committed to induce another person or his agent to deal in securities. Show Answer

Q80) Any act or omission which is tantamount to a manipulation of the price of a security is treated as ________. Show Answer