Quick and Easy Guides

Mutual Fund Distributors (MFD) Certification (NISM)
Scheme Selection
Q1.
When investing in equity funds the investment horizon should ideally be
Q2.
Several pension funds are limited by their charter, to take equity exposures only through index funds.
Q3.
Index funds are more suitable for investors who
Q4.
It is easier to get back the current value of the unit holding from a scheme from
Q5.
During an economic turmoil mid cap and small cap stocks are more likely to suffer because
Q6.
Frequent portfolio turnover is not desired because
Q7.
If an Indian investor invests in the US, and the US dollar becomes weaker viz a viz the rupee during the period of his investment he will benefit.
Q8.
Liquid plus as a term has been disallowed by SEBI because
Q9.
The NAV tends to remain most stable for
Q10.
Out of the following a Gold Sector Fund will not invest in
Q11.
At any time exposure in a sector fund should be
Q12.
If an investor does not want to have an equity exposure he will invest in
Q13.
When interests rate are on the decline it is more sensible to go in for
Q14.
People who want to earn better returns than the bank gives should switch part of their savings or current accounts to liquid schemes because they
Q15.
From the point of view of the investor he will find it simpler to invest in a balanced scheme because
Q16.
An investor can avoid investment pitfalls by studying
Q17.
To stay invested in a best fund, in every category in every quarter should be the aim of every investor.
Q18.
Dividend Distribution tax will have a marginal impact on costs for
Q19.
The data provided by rating agencies on their websites is completely reliable because it is certified by SEBI and NISM
Q20.
The risk that an investor takes by opting for an active fund is that the
Q21.
Mutual Funds that may not be listed in the stock exchange belong to
Q22.
Identify the fund which is the least risky among the following
Q23.
If a portfolio that is a value fund has a large proportion of fully valued frontline stocks then the fund manger is being true to the investment style.
Q24.
While selecting schemes within a category parameters to consider are
Q25.
The need for a regular income is better met with
Q26.
In the stock exchange the price of a unit is usually lower than the NAV
Q27.
In open ended schemes the liquidity portion of the asset can
Q28.
In an actively managed diversified fund there is more exposure to the better performing sectors
Q29.
Small caps and mid caps are good as investment options once
Q30.
Balanced schemes that are structured as flexible asset allocation schemes are safe and have no potential risk
Q31.
Quarterly performance ranking of schemes over a period of time shows that the best ranking fund in a quarter is not necessarily the best ranking fund in the next quarter.
Q32.
Returns on a scheme are dependent on
Q33.
According to mutual fund regulations investment is presently permitted in foreign schemes with other asset classes than gold, equity, real estate and debt
Q34.
Capital gain or capital loss is applicable in
Q35.
Besides newspapers data on mutual funds is available from
Q36.
Rating, ranking and past performance of a scheme will let us know how well a scheme will do in the future

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