1. Which of the following is NOT a part of the Primary Market?

 Merchant Bankers

 Mutual Funds

 Exchanges

 Registrars and Transfer Agents

2. An active ________ promotes the growth of the primary market and capital formation.

 secondary Market

 bullion market

 money market

 forex market

3. _______________ aims at streamlining settlement process by transfer of ownership of

securities electronically by book entry without making the securities move from person to
person.

 Companies Act, 1956

 Depositories Act, 1996

 SEBI Act, 1992

 SCRA, 1956

4. ________ has powers to register and regulate all market intermediaries in the securities
market and also to penalize them.

 RBI

 Depositories

 SEBI

 IRDA
 5. With the introduction of depository system in India theft, forgery, mutilation of certificates
became more prominent.

 True

 False

6. During the time when there was no demat of securities, for transfer of securities,
__________ was evidence of change of ownership.

 Endorsement of physical security

 Proof of Delivery

 Letter of acknowledgement from the transferee

7. Can either of the account holders sign in case of a depository account as is the case with a
bank account?

 Yes

 No

8. DP has to be registered with

 Depository

 Exchanges

 SEBI

 None of the above

9. For registering as a DP, the application should be submitted to __________.

 separately to Depository and SEBI

 to Depository, who will in turn forward it to SEBI after evaluation

 to Depository who will in evaluate and register the DP

 directly to SEBI and a copy should be sent to Depository for information only
 10. After Depository receives an application for registering as a DP, it evaluates and forwards
the application to SEBI within _______.

 30 days

 15 days

 45 days

 90 days

11. As per PMLA, records of services need to be preserved for _______ years.

 1

 5

 7

 10

12. Are Certificates of deposits eligible for dematerialization as per SEBI (Depositories &
Participants) Regulations, 1996?

 Yes

 No

13. Client-Participant agreement is a standard agreement approved by

 SEBI

 RBI

 DCA

 Depositories

14. Only a guardian can open a depository account for a minor.

 True
 False

15. In the event of the death of a joint holder, the balance lying in the account can be
transmitted, on request of the surviving holders, to a new account to be opened by the surviving
holders

 True

 False

16. The beneficial owners name in the account can even be changed after the account has
been opened. State whether True or False?

 True

 False

17. Nomination of shares is a provision under which act?

 Companies (Amendment) Act 1999

 SEBI Act

 Depositories Act 1996

 SCRA 1956

18. Can nomination be made by individuals for Beneficiary accounts held jointly or singly?

 Yes

 No

19. What kind of account is required by a nominee to give effect to the transmission of shares?

 Savings Account

 Demat Account

 Salary Account
 Current Account

20. For transmission of securities to the account of the new Karta from the account of the
deceased Karta, the surviving members through the new Karta shall make a joint application to
the DP.

 True

 False

21. Only those securities whose ____________has been activated by the depository, can be
dematerialised in the depository system

 ISIN

 WAP

 IIP

22. Who can make a request for demat of the security?

 Company

 Registered holder of the security

 Depository

 Depository Participant

23. It is possible for investors to transpose names of the joint holders alongwith the process of
dematerialisation through their DPs

 False

 True

24. Within how many days of request for remat of securities should the client receive the
physical securities

 45 days
 30 days

 7 days

 15 days

25. Transfer due to a transaction done on a person to person basis is called ___________
transaction.

 Off Market

 Market

 Sub-Market

 Intra-Market

26. State whether the given statement is true or false: “If adequate balances do not exist in the
account, then delivery instruction will wait for adequate balances till the end of the execution
day”.

 True

 False

27. If a broker gives ________ of his clients to Clearing Corporation /Clearing House, then pay-
out securities are directly credited in the clients account by the Clearing Corporation /Clearing
House.

 Names and PAN Nos

 Pay-out breakup

 Identities

 PAN Numbers and DP IDs

28. Who is required to give the Inter-settlement Instructions to the Participants for securities
lying within a same CM account but in different settlement a pocket?

 Exchange

 Clearing House
 Depository

 Clearing Member

29. If the lender needs concurrence of the borrower for appropriating securities to his account,
the transaction is called ____________?

 Pledge

 Hypothecation

 Either of the above

 None of the above

30. State whether the given statement is true or false: “For pledging and hypothecation of
securities, the pledgee and the pledgor can have their account with DPs under the different
depository”.

 True

 False

31. When do we call that a Pledge transaction is completed?

 When SEBI approves the proposal

 When the depository gives its nod

 When the confirmation advice is entered in the DP system

 None of the above

32. From who does the DP receives the pledge closure request?

 Pledgor

 Depository

 Pledgee

 None of the above

 33. Which of the following is a "Cash Corporate Actions"?

 Corporate Benefits

 Dividend

 Rights

 Bonus

34. "Non-cash corporate actions" involves which of the following?

 All benefits other than monetary benefits

 Monetary Benefits

 Both monetary as well as non-monetary benefits

35. Record Date for a Corporate Action is announced by:

 Exchanges

 Issuers

 Depository

 Shareholders

36. During distribution of dividends, companies should mandatorily print the bank account
details furnished by the Depositories on the payment instruments.

 True

 False

37. Public limited companies are required to make the public offer only in dematerialised form
in case the offer is more than ____ crore.

 Rs. 10 crore

 Rs. 25 crore
 Rs. 15 crore

 Rs. 50 crore

38. Issuer shall be required to enter into agreement with all the _______________ before
coming out with a public offer.

 Depositories

 Depository Participants

 Investors

 SEBI

39. Can SEBI issue guidelines pertaining to public issues?

 Yes

 No

40. The securities offer in the public offer can only be traded in the stock exchange in demat
form?

 True

 False

41. Who resolves the mismatch during dematerialisation of government securities?

 Depository Participant

 Depositories G-Sec cell

 SEBI

 RBI

42. State whether the statement is true or false: An investor in government securities holding
electronic balances in the depositories SGL-1 account can convert them into physical
certificates by the process of dematerialisation.
 False

 True

43. RBI does not register transfer of securities during ________.

 Closure Period

 Shut Period

 Lock Period

 Enclose Period

44. What is the maturity period of Treasury Bills?

 Upto One year

 Upto 3 months

 Upto 6 months

 More than 10 years

45. Identify the incorrect underlined portion of the sentence: Accounts opened under agreement
with DPs shall hold electronic warehouse receipts along with other securities.

 Alongwith other securities

 Accounts opened

 Agreement with DPs

 Electronic warehouse receipts

46. State True or False: DPs are free to add any more terms and conditions to the agreement
to the extent they are not contradictory to the terms and conditions of the model agreement.

 True

 False
 47. Which of the following Statement is False?

 The depositories also provide depository facility to the commodity exchanges for settlement of trades pertaining to
warehouse receipts for commodities

 The legal status of warehouse receipts is different from that of securities

 DPs are free to add any more terms and conditions to the agreement to the extent they are not contradictory to the terms
and conditions of the model

 For electronic trading of warehouse receipts, a DRF- WR portion has to be filled by the client

48. PDRF is the acronym for__________?

 Physical Delivery Request Form

 Physical Deposit Request Form

 Physical Deposit Remat Form

 Physical Delivery Remat Form

49. Who shall be a Qualified Financial Institution?

 Resident in a country that is a member of Financial Action Task Force

 Member of a group which is a member of Financial Action Task Force

 Both of the above

 None of the above

50. Which of the following statement is incorrect as far as Eligibility Criteria for Qualified DP is
concerned?

 DP shall have net worth of Rs. 100 crore or more

 DP shall obtain prior approval of SEBI before commencing the activities relating to opening of accounts of QFI

 DP shall be either a clearing bank or clearing member of any of the clearing corporations

 DP shall have appropriate arrangements for receipt and remittance of money with a designated Authorised Dealer (AD)
Category - I bank
 51. DPs shall have net worth of Rs. 50 crore or more. State whether True or False?

 True

 False

52. Resident in a country that is a signatory to IOSCO’s MMOU or a signatory of a bilateral

MOU with SEBI also qualifies the criteria as a QFI. State whether True or False?

 True

 False

53. Under RGESS, ‘New Retail Investors’ will be eligible for additional tax benefit upto
Rs.25,000 under Section 80CCG upto a maximum investment Rs.50,000 made in eligible
securities. State whether True or False?

 True

 False

54. Eligible investor will be required to submit specified form to the Depository Participant at the
time of account opening or designating his/her existing demat account for taking the benefits
under RGESS. State whether True or False?

 False

 True

55. Investors do not wish certain securities credited to their demat accounts to be considered
for the RGESS, then they will be required to submit declaration in a prescribed format within
______ month from the date of transaction?

 5

 2

 1

 3
 56. The Depository will furnish a quarterly statement of the eligible securities invested in or
traded through the RGESS demat account to the investor. State whether True or False?

 True

 False

57. What is the eligibility criterion for opening a Basic Services Demat Account (BSDA)?

 The individual shall have only one BSDA in his/her name across all depositories.

 Value of securities held in the demat account shall not exceed Rupees Two Lakhs at any point of time

 Both of the Above

 None of the above

58. Electronic statements of the BSDA sent to Beneficial Owners are charged at the rate of Rs.
25 per statement. State whether True or False?

 True

 False

59. How many Delivery Instruction Slips (DIS) are issued to the BO’s at the time of opening the
BSDA?

 1

 2

 3

 4

60. All BOs opting for the facility of BSDA, shall register their mobile number for availing the
SMS alert facility for debit transactions. State whether True or False?

 True

 False
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