Q1.
Secondary markets provide liquidity and marketability to existing securities.
Q2.
Which of the following is not correct about role & function of the Secondary Market?
Q3.
(I) The more illiquid the market, the greater the trades and the fewer would be the bid-ask spread.
(II) The core component of any secondary market is the stock exchange.
Q4.
Which of the following statement is wrong about the advantages of a 3-in-1 account:
Q5.
Power of Attorney is mandatory for opening a trading account with a broker; it is not required when an online 3-in-1 account is opened.
Q6.
The important features of an electronic trading systems are:
Q7.
The stock exchange conducts an inspection of the books of trading members of each market segment:
Q8.
The base period for CNX Nifty is:
Q9.
Blue-chip stocks represent the largest companies by market cap that also enjoy a high level of liquidity.
Q11.
(I) When a security is traded on cum basis, it means that it incorporates the benefit of the corporate action in its price.
(II) When it goes ex-basis, the buyer no longer has the benefit of the corporate action.
Q12.
Members are required to pay-in funds:
Q13.
(I) If a member is not able to pay-in securities on the settlement day, it is known as a bad delivery.
(II) If the shares are delivered but rejected by the depository for the technical reasons, it is a short delivery.
Q15.
(I) Securities Pay-in: The process of receiving securities from the clearing corporation to effect settlement of a purchase transaction.
(II) Securities Pay-out: The process of delivering securities to the clearing corporation to effect settlement of a sale transaction.
Q16.
A trade can be settled in:
Q17.
Which of the following is the primary function of the secondary markets:
Q18.
Market capitalization of a stock is impacted by:
Q19.
Lower is the impact cost, lower is the liquidity and lower is the trading cost to the investor.
Q20.
A trade that is squared-off during the day
Q21.
The risk of default on obligations arising out of trading is controlled by the exchange by
Q22.
The document that confirms a trade executed on the stock exchange is called
Q23.
The base value of SX40 is:
Q24.
Market capitalization of a company is the number of shares outstanding multiplied by the market price per share.
Q25.
The gap between buying and selling prices is known as bid-ask spread.
Q26.
Which is not a participant of secondary market?
Q28.
Which of the following phase/phases is correct in secondary market transaction?
Q29.
(I) NSCCL is the clearinghouse for trades done on the BSE.
(II) ICCL is the clearinghouse for trades done on the NSE.
Q31.
(I) The 3-in-1 account allows an investor to merge the savings bank, demat and trading account.
(II) Brokers must not provide a duplicate or a certified true copy of the power of Attorney to the client after execution.
Q32.
The fully automated computerized mode of trading on NSE is
Q33.
International Securities Identification Number (ISIN) is a
Q34.
(I) A day order is valid only until the end of the trading day on which it is placed.
(II) A good till cancelled (GTC) order remains in the system until it is executed.
Q35.
Which of the following specification is wrong in a contract note?
Q36.
The statutory charges on trading are:
Q37.
For delivery-based transactions, securities transaction tax (STT) is presently levied at:
Q38.
For non-delivery based transactions, STT is presently levied at:
Q39.
Service tax is charged on brokerage:
Q40.
SEBI imposes a turnover tax at the rate of:
Q41.
Impact cost is a measure of the cost incurred due to the bid-ask spread.
Q42.
Approximately what percentage of turnover on the equity exchanges is usually squared off within the trading day is:
Q43.
(I) Funds Pay-in: The process of transfer of funds to the clearing corporation to pay for purchase transactions.
(II) Funds Pay-out: The process of transfer of funds from the clearing corporation to complete the funds settlement of a sale transaction.
Q44.
Which of the following is/are corporate actions:
Q45.
Stocks that are included for trading in the futures market do not have a circuit breaker.
Q46.
(I) All trading in equity and equity derivatives markets is halted when circuit limits for the index are hit.
(II) The trading halts are prescribed on the basis of the time and percentage amount of decline in the index.
Q47.
Higher is the liquidity in the market, lower will be the turnover ratio.
Q48.
The base value of the Sensex was set at 100 on
Q49.
Under normal conditions, SEBI norms stipulate a Base Minimum capital (BMC) of
Q50.
The cash component of liquid assets has to be at least
Q51.
Which of the following statement is wrong?
Q52.
To address investor grievances, MCX-SX has
Q53.
The process of arbitration is governed by the rules and regulations prescribed by SEBI and the exchange from time to time.
Q54.
Which of the following statement is wrong?
Q55.
The extreme loss margin aims to cover the losses that could occur outside the coverage of VaR margins.
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