Which of the following is true? Some close end funds sell at a discount to their NAV, because
Investors expect that current NAV cannot be sustained by future potential
If the entry load is 2% and the NAV is Rs. 10, then the investor will have to pay for 1000 units
Which of the following Mutual Funds was not set up within the Phase 2:1987-1993?
Investor can get professional management to manage his money.
Issuing additional fresh units and redeeming the existing units of a mutual fund scheme is the role of:
The Asset Management Company shall make investment decisions solely in the interest of
Minimum number of independent directors on the board of asset management company is
Under the Indian Trusts Act, the interests of the unit-holders is safeguarded by
the fundamental attributes of a closed end schemes?
Which schedule of SEBI (Mutual Fund) regulations 1996 specifies the contents of the Trust Deed?
In case of a dispute, against whom can the Unitholders initiate legal proceedings?
the information to evaluate the performance of the proposed scheme
useful information to evaluate the performance of the AMC\u2019s past schemes
Investor does not get any information on services he can expect from the fund.
Investor will not be able to assess the risks of the proposed scheme based on the offer document
The Abridged Offer Document contains the address of the following:
Validate the statement \u2013 The investor is not obliged to read the offer document before investing in units of a scheme.
Which of the following distribution channels is preferred by private mutual funds?
An NRI holds units in a mutual fund. What should he do with his holding if he takes up a foreign citizenship?
The minimum as well as the maximum commission of the distributor
Neither the minimum nor the maximum commission to the distributor
According to SEBI\u2019s code for mutual fund advertisement, for funds that have been in existence for more than a year, annualized returns have to be furnished for
An open-end fund with 10,000 units outstanding had the following items in its balance sheet:
A closed-end equity fund has average weekly net assets of Rs. 200 crores. As per SEBI Regulations, the AMC can charge the fund with investment and advisory fee upto:
Rs. 3 crores
(1.25% of 1st Rs. 100 crores of net assets
and 1% of the balance)
An investor purchased units in a mutual fund in 1995 for Rs. 75000. He sold the units in 1998 for Rs. 125000. The cost inflation index for 1995 and 1998 are 281 (C) and 351(D) respectively. The capital gains chargeable to tax are:
Income earned by a Mutual Fund registered with SEBI is exempt from Income-Tax as per section
Unit capital of a mutual fund scheme is Rs. 20 million; The market value of its investments is Rs. 55 million; The number of units is 1 million. The NAV is
The plan allows for automatic reinvestment of all income and capital gains.
The benefit of automatic reinvestment is often lost, if reinvestment is subject to a heavy load
Specification of a minimum amount for which check can be issued
Limit on the number of checks that are allowed to be issued in a month
It allows investors to make Systematic withdrawal from his fund
Freedom with respect to investing one time or at regular intervals
Making transfers to different schemes with the same fund family
The current market price of a 9%\u2014 coupon bond, when other bonds of similar maturities pay 11% will be:
SEBI places a limit on a scheme\u2019s investment in \u201cinvestment grade rated\u201d debt instruments of a single issuer, because:
grade securities carry risks of default by borrower
A scheme must diversify its holdings and thus reduce portfolio risk
SEBI wants to leave some for investment in \u201cnon-investment grade\u201d securities
Technical Analysis tries to predict future movement of stock price by analyzing:
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