Free NISM NISM-Series-VII Exam Dumps Questions & Answers

Under the 'Management or administration of clients portfolio' regulations, what is the specific investment limit for a portfolio manager offering **non-discretionary or advisory services** regarding **unlisted securities**?

• A.  They are strictly prohibited from investing or advising on unlisted securities.
• B.  They may invest up to 50% of the AUM in unlisted securities provided the client is a body corporate.
• C.  They may invest 100% of the assets in unlisted securities if the client is a High Net Worth Individual (HNI).
• D.  They may invest or provide advice for investment up to 10% of the assets under management of such clients in unlisted securities.
• E.  They may invest or provide advice for investment up to 25% of the assets under management of such clients in unlisted securities.

For stock brokers providing Algorithmic Trading facilities, SEBI has mandated specific controls and audit requirements. Which of the following combinations correctly specifies the server location requirement and the frequency of system audits?

• A.  Server Location: India; Audit Frequency: Once at the time of approval
• B.  Server Location: Any global location; Audit Frequency: Annually
• C.  Server Location: India; Audit Frequency: Every six months
• D.  Server Location: Co-location facility only; Audit Frequency: Quarterly
• E.  Server Location: Broker's registered office only; Audit Frequency: Every two years

For the purpose of identifying an 'extra-ordinary' dividend (which triggers adjustment in Equity F&O), the declared dividend must be at and above 2% of the market value of the underlying stock. How is this 'market price' specifically defined for the calculation?

• A.  The volume-weighted average price (VWAP) of the scrip on the cum-dividend date.
• B.  The closing price of the scrip on the day previous to the date on which the announcement of the dividend is made by the Company after the Board meeting.
• C.  The closing price of the scrip on the record date fixed for the purpose of dividend payment.
• D.  The closing price of the scrip on the date of the Annual General Meeting (AGM) where the dividend is approved.
• E.  The average closing price of the scrip for the last 5 trading days prior to the record date.

According to RBI guidelines for issuance, which of the following combinations correctly specifies the minimum denomination, maturity range, and minimum credit rating required for a Commercial Paper (CP)?

• A.  ? 1 lakh and multiples thereof; 15 days to 1 year; Rating 'A2'
• B.  ?25 lakh and multiples thereof; 30 days to 1 year; Rating 'A1'
• C.  ?5 lakh and multiples thereof; 15 days to 3 years; Rating 'A3'
• D.  ? 10 lakh and multiples thereof; 7 days to 1 year; Rating 'AA'
• E.  ?5 lakh and multiples thereof; 7 days to 1 year; Rating 'A3'

To ensure compliance with Margin Trading Facility (MTF) regulations, stock brokers are required to submit a certificate to the exchange.
What is the frequency and timeline for this submission?

• A.  Monthly; by the 7th of the succeeding month.
• B.  Event-based; within 7 days of exceeding the exposure limits.
• C.  Quarterly; within 15 days from the end of the quarter.
• D.  Half-yearly; within one month from the half-year ending 31st March and 30th September.
• E.  Annually; along with the Annual Returns by October 31st.