Practice Test

Q1) Market provides liquidity to the instruments issue in primary market. Show Answer

Q2) While trading on stock exchange buyer and seller known as each other. Show Answer

Q3) __________ are trading members of stock exchange. Show Answer

Q4) Only the___________ have access to the terminal of the stock exchange. Show Answer

Q5) The electronic environment has decreased the capacity of the securities market. Show Answer

Q6) The expansion of __________ industry led to trading of stock and shares. Show Answer

Q7) SEBI was established in the year __________. Show Answer

Q8) SEBI act was passes in the year __________. Show Answer

Q9) Electronic screen based trading commenced in India in the year __________. Show Answer

Q10) Current settlement period (rolling Settlement) in India is __________. Show Answer

Q11) Shorter settlement cycle help investors to make __________ decision. Show Answer

Q12) Definition of securities does not include derivatives. Show Answer

Q13) Which of the following is not derivative product? Show Answer

Q14) Corporatization of stock exchange proposed to segregate ownership management and trading membership. Show Answer

Q15) Depositories act was enacted in __________. Show Answer

Q16) Non Indian securities can be trade outside Indian. Show Answer

Q17) __________ phase is market by rising by rising of stocks. Show Answer

Q18) In bull market, investors have confidence in the economy. Show Answer

Q19) A __________ phase is market by falling price of stock. Show Answer

Q20) In bear market indices shows a __________ trend. Show Answer

Q21) Small investor should invest for ___________ term earn higher returns. Show Answer

Q22) Who is the main regulator of securities market? Show Answer

Q23) Small investor can not invest directly into secondary market. Show Answer

Q24) Economic cycles affect the financial performance of companies. Show Answer

Q25) Ups and downs of the stock markets are due to _______ views among market participants. Show Answer

Q26) Lower retained earnings means the company is _____ in itself. Show Answer

Q27) Secondary market gives _______. Show Answer

Q28) Which of the following are factors that influence the price of stock? Show Answer

Q29) Analysts estimate that the intrinsic value of an equity share is Rs.50. The share is quoting for Rs.35 in the market. Then we can say that the share is Show Answer

Q30) Investor can place order with broker on _________. Show Answer

Q31) Details on contract not should include Show Answer

Q32) Investor should bear in mind Show Answer

Q33) Which of the following are factors that influence the price of stock? Show Answer

Q34) _________ Have the potential to grow than any other asset class. Show Answer

Q35) Equity offers highest rate of return if invested over a longer duration. Show Answer

Q36) Debt instrument represents a contract whereby one party ________ money to another. Show Answer

Q37) If a debt instrument issued with 10% P.A coupon rate, what is the rate of interest payable half yearly? Show Answer

Q38) Bond / Debenture are rated by _________ for their credit quality. Show Answer

Q39) Electronic environment of trading does not have any risk. Show Answer

Q40) The derivatives traded on exchange include Show Answer

Q41) In secondary market dealing can between two investors and the __________ does not come into picture. Show Answer

Q42) OTC markets are the __________ type of market. Show Answer

Q43) The trades executed on the stock exchange are settled through the __________. Show Answer

Q44) The orders are arranged in exchange order book on __________ basis. Show Answer

Q45) The main objective behind liberalization of securities market was/ ware Show Answer

Q46) Before electronic screen based trading system open outcry system was followed. Show Answer

Q47) ___________was one of the major problem of the securities market. Show Answer

Q48) BSE in 1996 allowed to open trading terminal to trade outside. Show Answer

Q49) In bull phase more buyer and relatively. Show Answer

Q50) __________ is the safest way for a small investor to invest in the market. Show Answer

Q51) __________ are an important source of information about companies for investors. Show Answer

Q52) Assuming a market downtrend situation, stocks of companies in which of the following industry will get hammered heavily? Show Answer

Q53) Which of the following is not required on contract note? Show Answer

Q54) Maximum brokerage on Rs. 10,000 purchases and Rs. 20,000 sales? Show Answer

Q55) Maximum brokerage on purchase of Rs. 1,00,000 & sale of Rs. 3,00,000. Show Answer

Q56) Maximum brokerage on purchase of Rs. 3,65,000 & sale of Rs. 3,35,000. Show Answer

Q57) _________ refers to online system where a member can punch the quantity & price of desired security in which he wants to transact and the transaction is executed as soon as a matching sale or buy order from a counter party is found. Show Answer

Q58) A type of preference share on which dividend accumulates if remains unpaid. Show Answer

Q59) A bear phase in the market indicates the dominance of _________. Show Answer

Q60) The introduction of ____________ has created a seamless, trading, clearing and settlement environment without manual intervention. Show Answer

Q61) The orders are entered through trading terminals situated in __________. Show Answer

Q62) Sub-brokers are registered with________, apart from SEBI. Show Answer

Q63) Units of close ended schemes of mutual funds are traded in the primary market only. Show Answer

Q64) After the trade is made, the securities are transferred by _________. Show Answer

Q65) The GDP growth and the growth of the securities market are usually _______ correlated. Show Answer

Q66) Unit of ___________mutual funds are traded on the stock exchange. Show Answer

Q67) Brokers are required to register with __________ and __________. Show Answer

Q68) The GDP growth and the growth of the securities market are usually __________ correlated. Show Answer

Q69) The DIP guidelines issued by SEBI concentrated on __________ norms. Show Answer

Q70) Indian companies are allowed to issue. Show Answer

Q71) A good investment strategy is to ___________ in bear market and ___________ in bull market. Show Answer

Q72) In bear market investor may invest in low delta stock. Show Answer

Q73) The increase in yield from 8% to 8.20% will push ____ the price of the debt instrument. Show Answer

Q74) Stock broker shall take adequate steps to redress investors’ grievances within ______ month. Show Answer

Q75) A sub broker shall enter into a __________ agreement with his client and the main stock broker Show Answer

Q76) _________ means a person who is a connected person or one who is in possession of or having access to unpublished price sensitive information. Show Answer

Q77) A connected person is defined by the act as anyone who has been associated with the company in the _______ months prior. Show Answer

Q78) Which of the following will be deemed to be connected person? Show Answer

Q79) Which of the following will be deemed to be connected person? Show Answer

Q80) Off-market transactions between insiders who all have the same information is allowed and not considered as violation of SEBI (Prohibition of Insider Trading) Regulations 2015. Show Answer

Q81) Insiders can trade in the securities if the trades were in accordance to a trading plan that has been approved by the___________. Show Answer

Q82) As per the SEBI’s Regulations, an organization needs to appoint a ____________ who is responsible for setting forth policies and procedures and monitoring adherence to the code of fair disclosure and code of conduct aimed at preservation of “Price Sensitive Information”. Show Answer

Q83) Which of the following is not an instance of fraud? Show Answer

Q84) Unpublished price sensitive information (UPSI) that affect the company or its securities includes the following except, Show Answer

Q85) Indulging in an act which creates a false or misleading appearance of trading in the securities market is treated as _________. Show Answer

Q86) _________ refers to online system where a member can punch the quantity & price of desired security in which he wants to transact and the transaction is executed as soon as a matching sale or buy order from a counter party is found. Show Answer

Q87) ________ is a confirmation of trades done on a particular day. Show Answer

Q88) ________ refers to bond issued at discount and redeemed at par. Show Answer

Q89) Future contract are settled by _________. Show Answer

Q90) Which of the following is incorrect? Show Answer