This is Part 6 of our Premium NISM Mock test for NISM V A.
#1. Investor can file suit against
Here the word Trust is refer to Mutual fund.
As we all know that Mutual Fund is Trust not a company.
So as per rules, Investors have right to sue Trustees but not Trust.
#2. Mutual fund units are
All Mutual fund are exempt for wealth tax, no exceptions.
#3. Small cap and mid cap funds turns risker during
Small cap and mid cap funds turns risker during recession and Market turmoil because market fall and rapid fluctuations affects Small and Mid cap funds more than Large cap funds as Large cap have relatively strong Fundamentals.
And in case of Low interest rate, almost all funds gets benefit from it. As companies have to pay less interest on their Debt which means more profitability of companies.
#4. One ARN number is enough to empanelled with
One ARN number is enough for Mutual fund Distributor to empanelled with any AMC.
For instance: In India there are total 44 AMCs.
An Mutual fund Distributor in India can empanelled with any of them with one ARN number.
It doesn’t matter whether AMC is Sundaram Mutual Fund or L&T Mutual Fund.
#5. Movement in security prices are governed by SEBI
SEBI have no control in movement in security prices. As SEBI has no control on demand and supply so automatically have no control in fluctuations in shares.
#6. Statement of Additional Information (SAI) not contained
SID contained Scheme specific information
while SAI contained General
information about the Mutual fund.
#7. There is no difference in Gold sector fund and Gold ETF.
Gold sector funds are active funds which invest in a company who works in sector of gold.
while Gold ETF are passive funds which invest in gold itself.
#8. As per SEBI, Application form must be attached with
#9. Rematerialization is a process by which
While in case of De materialization
units in physical form are converted into electronic form.
#10. ELSS fund has
Exchange traded funds have no lock-in period as they are traded in exchange.
#11. A Mutual Fund Trust is
Mutual Fund is a Trust not a company. And AMC is managing investor’s money not their own. So they are exempt from tax.
Please keep this in mind the below paragraph is not related to NISM VA. This is only written to aware you about other certification other then NISM. If you are not interested, ignore reading this and click NEXT to continue solving Part 7 of Nism VA mock test.
FTKMC is currently engaged in spreading education on Commodities Futures in India and abroad through its various structured modules:
- Commodities Futures (MCCP)
- Currency Futures
- Interest Rate Futures
So far we have discuss about CFP, FTKMC and it’s modules. If you have any doubt please comment below.