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NSE’s CERTIFICATION IN FINANCIAL MARKETS (NCFM

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STOCK EXCHANGE…?
• A stock exchange is a form of exchange which provides services for stock brokers and traders to trade stocks, bonds, and other securities. Stock exchanges also provide facilities for issue and redemption of securities and other financial instruments, and capital events including the payment of income and dividends. Securities traded on a stock exchange include shares issued by companies, unit trusts, derivatives, pooled investment products and bonds.

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Bombay Stock Exchange (BSE) National Stock Exchange of India (NSE) Indian Commodity Exchange (ICEX) United Stock Exchange of India (USE) Multi Commodity Exchange (MCX) MCX Stock Exchange (MCX-SX) Over the Counter Exchange of India (OTCEI) Inter-connected Stock Exchange of India (ISE) Madras Stock Exchange (MSE) Ahmedabad Stock Exchange (ASE) Bhubaneshwar Stock Exchange (BhSE) Cochin Stock Exchange (CSE) Hyderabad Stock Exchange (HSE) Calcutta Stock Exchange (CSE) Delhi Stock Exchange (DSE) Bangalore Stock Exchange Madhya Pradesh Stock Exchange, Indore Jaipur Stock Exchange (JSE) Magadh Stock Exchange, Patna UP Stock Exchange (UPSE) Vadodara Stock Exchange,Vadodara (VSE)

STOCK EXCHANGES IN INDIA

for both equities and derivative trading.NATIONAL STOCK EXCHANGE(NSE)  Set up by Govt of India on the recommendation of Pherwani Committee in 1991. .  16th largest stock exchange in the world by market capitalization.  It was in April 1993 that NSE was recognized as stock exchange under the Securities Contract Act 1956.  Incorporated in November 1992 as a tax-paying company.  Largest in India by daily turnover and number of trades.  Located at Mumbai.

 NSE has a market capitalization of around US$985 billion and over 1.646 listings as of December 2011 .  It is the second fastest growing stock exchange in the world with a recorded growth of 16.  In 2011..Contd…….6%. NSE was the third largest stock exchange in the world in terms of the number of contracts (1221 million) traded in equity derivatives.

CNX Nifty Junior. CNX 100. . CNX Midcap. 2. 5. S&P CNX Nifty. 3. S&P CNX Defty. 4.MAJOR INDICES OF NSE 1. 6. S&P CNX 500.

. who do not directly or indirectly trade on the Exchange.NSE – CORPORATE STRUCTURE • NSE is one of the first de-mutualised stock exchanges in the country. • NSE is owned by a set of leading financial institutions. where the ownership and management of the Exchange is completely divorced from the right to trade on it. insurance companies and other financial intermediaries and is managed by professionals. banks.

• Its Board comprises of senior executives from promoter institutions. nominees of SEBI and one full time executive of the Exchange. accountancy. Contd…………. . eminent professionals in the fields of law. public representatives. etc. • The day-to-day management of the Exchange is delegated to the Managing Director who is supported by a team of professional staff. finance.. economics. taxation.

.• • • • • • • • • • • • • • • • • • • • PROMOTERS Industrial Development Bank of India Limited Industrial Finance Corporation of India Limited Life Insurance Corporation of India State Bank of India ICICI Bank Limited IL & FS Trust Company Limited Stock Holding Corporation of India Limited SBI Capital Markets Limited Bank of Baroda Canara Bank General Insurance Corporation of India National Insurance Company Limited The New India Assurance Company Limited The Oriental Insurance Company Limited United India Insurance Company Limited Punjab National Bank Oriental Bank of Commerce Indian Bank Union Bank of India Infrastructure Development Finance Company Ltd.

. • NCFM is an online testing and certification programme. • It tests the practical knowledge and skills required to operate in the financial markets.NCFM • National Stock Exchange introduced NCFM in 1998. • Certificates awarded based on merit of the candidate to qualify the on-line test.

.HOW TESTS ARE CONDUCTED • The entire process of testing. • The Test is also offered through the Internet to enable candidates outside the designated test centres to take tests at their convenience. assessing and scores reporting in the NCFM is fully automated. • The system is operated through an intranet facility by using a central World Wide Web server with terminals located at each of the designated test centres to be used as an examination front end.

particularly the capital market. • To understand the terms and jargons used in the financial newspapers and periodicals.Financial Markets: A Beginner's Module Objective : • To get a basic understanding of the products. players and functioning of financial markets. .1.

686/. There is no negative marking in this module.(Rupees One Thousand Six Hundred and Eighty Six Only). Passing marks: 50 (50%). . of questions: 60 • Maximum marks: 100. 1. certificates are valid for 5 years from the test date • Fees Rs.• Test details Duration: 120 minutes No. • Certificate validity: For successful candidates.

• To know about the roles of different players viz. Mutual Funds: A Beginner's Module Objectives : • To understand the concept of mutual funds. • To learn about the tax and regulatory issues related to mutual funds. in the mutual fund industry.. . sponsor etc.2. custodians. asset management companies. • To understand the fundamentals of net asset value (NAV) computation and various investment plans.

• Test details Duration: 120 minutes No. . • Certificate validity: For successful candidates. of questions: 60 • Maximum marks: 100 • Passing marks: 50 (50%).(Rupees One Thousand Six Hundred and Eighty Six Only).686/. certificates are valid for 5 years from the test date. • Fees 1. There is no negative marking in this module.

3. • To understand the currency futures as a risk management tool. Currency Derivatives: A Beginner's Module Objectives : • To understand the fundamentals of the currency market. • To learn about the trading platform of the currency derivatives segment of a stock exchange. .

(Rupees One Thousand Six Hundred and Eighty Six Only). There is no negative marking in this module. . • Fees 1. • Certificate validity: For successful candidates.686/. of questions: 60 • Maximum marks: 100 • Passing marks: 50 (50%).• Test details Duration: 120 minutes No. certificates are valid for 5 years from the test date.

• To learn about the the trading of derivatives on the stock exchanges. • To learn the types of derivative products and their application.4. . Equity Derivatives: A Beginner's Module Objectives : • To understand the concept of derivative.

. certificates are valid for 5 years from the test date.(Rupees One Thousand Six Hundred and Eighty Six Only). • Fees 1.• Test details Duration: 120 minutes No. There is no negative marking in this module. of questions: 60 • Maximum marks: 100 • Passing marks: 50 (50%).686/. • Certificate validity: For successful candidates.

5. Interest Rate Derivatives: A Beginner's Module Objectives : • To understand the concept of money market • To understand the interest rate derivatives as a risk management tool .

certificates are valid for 5 years from the test date. of questions: 60 • Maximum marks: 100 • Passing marks: 50 (50%). • Fees Rs. There is no negative marking in this module.• Test details Duration: 120 minutes No.(Rupees One Thousand Six Hundred and Eighty Six Only).1. .686/. • Certificate validity: For successful candidates.

• To improve one's awareness of the policies and practices in the Indian banking sector. Commercial Banking in India: A Beginner's Module Objectives : • To learn the fundamentals of banking.6. . • To be familiar with banking services available in India.

certificates are valid for 5 years from the test date. .• Test details Duration: 120 minutes No. • Fees Rs 1.(Rupees One Thousand Six Hundred and Eighty Six Only). of questions: 60 • Maximum marks: 100 • Passing marks: 50 (50%). There is no negative marking in this module. • Certificate validity: For successful candidates.686/.

participants and the functions of the securities market. • To understand the market design of Primary Market & Secondary Market. Securities Market (Basic) Module Objectives : • To understand the various products. • To understand the government securities market. .7.

" • Certificate validity: For successful candidates certificates are valid for 5 years from the test date.(Rupees One Thousand Six Hundred and Eighty Six Only). of questions: 60 • Maximum marks: 100 • Passing marks: 60 (60%). .• Test details Duration: 120 minutes No. There is negative marking for incorrect answers.686/. • Fees 1.

.8. Capital Market (Dealers) Module (CMDM) Objectives : • To understand the capital market trading operations of NSE. • To know about the eligibility criteria for seeking membership at NSE. settlement and risk management processes. • To understand the clearing. • To learn the other important regulatory aspects.

• Fees : Rs. of questions: 60 • Maximum marks: 100 • Passing marks: 50 (50%). • Certificate validity: For successful candidates.1. certificates are valid for 5 years from the test date.• Test details Duration:105 minutes No.686/. There is negative marking for incorrect answers.(Rupees One Thousand Six Hundred and Eighty Six Only .

accounting and taxation issues relating to equity derivatives. clearing. .9. hedging and arbitraging • To learn the trading. settlement and risk management in equity derivatives • To learn the regulatory. Derivatives Market (Dealers) Module (DMDM) Objectives : • To learn the basics of the derivatives market • To understand the use of derivative products in speculating.

686/. certificates are valid for 3 years from the test date.• Test details Duration: 120 minutes No. • Certificate validity: For successful candidates. There is negative marking for incorrect answers. of questions: 60 • Maximum marks: 100 • Passing marks: 60 (60%). . • Fees 1.(Rupees One Thousand Six Hundred and Eighty Six Only).

yield curve.10. • To learn the concepts of bond valuation. FIMMDA-NSE Debt Market (Basic) Module Objectives : • To understand the fundamental features of debt instruments. bootstrapping and duration . • To know the regulatory and procedural aspects related to debt market. • To understand the trading of the debt instruments on the NSE-WDM Segment.

.686/. There is negative marking for incorrect answers. of questions: 60 • Maximum marks: 100. • Certificate validity: For successful candidates. • Fees .1. Passing marks: 60 (60%). certificates are valid for 5 years from the test date.• Test details Duration: 120 minutes No.(Rupees One Thousand Six Hundred and Eighty Six Only).

11. • To understand the processes involved in a depository's functioning. . NSDL-Depository Operations Module Objectives : • To understand the rationale for a depository. • To understand the NSDL application software. • To know about the services provided by a depository.

• Fees : 1. certificates are valid for 5 years from the test date. of questions: 60 • Maximum marks: 100 • Passing marks: 60 (60%). . • Certificate validity: For successful candidates.686/. There is negative marking for incorrect answers. Candidates securing 80% or more marks in NSDL-Depository operations module only will be certified as 'TRAINERS'.• Test details Duration: 75 minutes No.(Rupees One Thousand Six Hundred and Eighty Six Only).

Investment Analysis and Portfolio Management • To have a practical orientation towards the principles of investment. pricing and valuation" • To learn the various methodologies of financial analysis " .12.

(Rupees One Thousand Six Hundred and Eighty Six Only)." • Fees . . There is negative marking for incorrect answers.686/. of questions: 60 • Maximum marks: 100 • Passing marks: 60 (60%). certificates are valid for 5 years from the test date." • Certificate validity: For successful candidates.1.• Test details Duration: 120 minutes No.

13. • To learn the various valuation methodologies . Fundamental Analysis Module • To have a basic understanding about fundamental analysis .

• Test details Duration: 120 minutes No. of questions: 60 • Maximum marks: 100 • Passing marks: 60 (60%); There is negative marking for incorrect answers. • Certificate validity: For successful candidates, certificates are valid for 5 years from the test date. • Fees - 1,686/- (Rupees One Thousand Six Hundred and Eighty Six Only).

14. Financial Markets (Advanced) Module
• To have a comprehensive and broad based knowledge about the financial markets. • To get acquainted with various products, players and functioning of financial markets.

• Test details Duration: 120 minutes No. of questions: 60 • Maximum marks: 100 • Passing marks: 60 (60%); There is negative marking for incorrect answers. • Certificate validity: For successful candidates, certificates are valid for 5 years from the test date. • Fees - 1,686/- (Rupees One Thousand Six Hundred and Eighty Six Only).

Securities Market (Advanced) Module • To have a comprehensive and broad based knowledge about the securities markets. .15. • To get acquainted with various securities markets products. rules and regulations.

(Rupees One Thousand Six Hundred and Eighty Six Only).1. .• Test details Duration: 120 minutes No. of questions: 60 • Maximum marks: 100 • Passing marks: 60 (60%). certificates are valid for 5 years from the test date. • Certificate validity: For successful candidates. There is negative marking for incorrect answers. • Fees .686/.

Mutual Funds (Advanced) Module • To have a comprehensive and broad based knowledge about the mutual fund industry. • To get acquainted with mutual fund operations. valuation of investments by mutual fund schemes. mutual fund accounting and rules & regulations.16. .

certificates are valid for 5 years from the test date.1.(Rupees One Thousand Six Hundred and Eighty Six Only). . • Certificate validity: For successful candidates.686/. • Fees . of questions: 60 • Maximum marks: 100 • Passing marks: 60 (60%).• Test details Duration: 120 minutes No. There is negative marking for incorrect answers.

Banking Sector Module • have a basic understanding about banking operations • To get acquainted with various banking related services.17. .

of questions: 60 • Maximum marks: 100 • Passing marks: 60 (60%).686/. certificates are valid for 5 years from the test date. There is negative marking for incorrect answers. • Certificate validity: For successful candidates.1. • Fees .(Rupees One Thousand Six Hundred and Eighty Six Only). .• Test details Duration: 120 minutes No.

insurance contracts and principles etc. . fundamentals of risk management.18. Insurance Module • To have a basic understanding about the concept of insurance • To learn about the various types of insurance.

• Certificate validity: For successful candidates. • Fees . There is negative marking for incorrect answers. .1.• Test details Duration: 120 minutes No.686/. of questions: 60 • Maximum marks: 100 • Passing marks: 60 (60%). certificates are valid for 5 years from the test date.(Rupees One Thousand Six Hundred and Eighty Six Only).

19. Macroeconomics for Financial Markets Module • To have a basic understanding of various macroeconomic concepts • To learn about macroeconomic behavior .

• Certificate validity: For successful candidates.(Rupees One Thousand Six Hundred and Eighty Six Only). • Fees .1. of questions: 60 • Maximum marks: 100 • Passing marks: 60 (60%). There is negative marking for incorrect answers.686/. certificates are valid for 5 years from the test date.• Test details Duration: 120 minutes No. .

• To understand the objectives and risks of each different strategies. . • To understand payoff concepts.20. Options Trading Strategies Module • To learn about the various option strategies.

certificates are valid for 5 years from the test date.• Test details Duration: 120 minutes No. of questions: 60 • Maximum marks: 100 • Passing marks: 60 (60%). .686/.(Rupees One Thousand Six Hundred and Eighty Six Only).1. • Certificate validity: For successful candidates. There is negative marking for incorrect answers. • Fees .

• To get acquainted with various types of options and options strategies .21. Options Trading (Advanced) Module • To have a comprehensive and broad based knowledge about the options markets.

(Rupees One Thousand Six Hundred and Eighty Six Only). of questions: 60 • Maximum marks: 100 • Passing marks: 60 (60%). There is negative marking for incorrect answers.• Test details Duration: 120 minutes No. certificates are valid for 5 years from the test date.686/. • Certificate validity: For successful candidates. • Fees .1. .

• To learn about the NCDEX trading platform. clearing and settlement operations. • To understand the pricing mechanism of commodity futures. • To know the regulatory framework and taxation aspects of the commodities market. Commodities Market Module • To understand the difference between commodity and financial derivatives. .22. • To know the usage of commodity futures.

certificates are valid for 3 years from the test date. There is negative marking for incorrect answers. • Certificate validity: For successful candidates.• Test details Duration: 120 minutes No. of questions: 60 • Maximum marks: 100 • Passing marks: 50 (50%).(Rupees Two Thousand Twenty Two Only) .022/. • Fees .2.

SEBI (Prohibition of Insider Trading) Regulations etc. • To learn the rules and regulations like Anti Money Laundering Act. ." • To understand the concept of corporate governance.23. Surveillance in Stock Exchanges Module • To understand the importance of market surveillance mechanism. • To learn the role of surveillance in risk management.

• Certificate validity: For successful candidates.1. There is negative marking for incorrect answers.• Test details Duration: 120 minutes No. of questions: 50 • Maximum marks: 100 • Passing marks: 60 (60%).(Rupees One Thousand Six Hundred and Eighty Six Only). • Fees . certificates are valid for 5 years from the test date.686/. .

Corporate Governance Module • To understand the evolution of corporate governance in India. • To know about the disclosure and reporting requirements for companies. • To understand the clause 49 of the listing agreement. .24.

of questions: 100 • Maximum marks: 100 • Passing marks: 60 (60%).• Test details Duration: 90 minutes No. There is negative marking for incorrect answers.(Rupees One Thousand Six Hundred and Eighty Six Only).1. . certificates are valid for 5 years from the test date.686/. • Fees . • Certificate validity: For successful candidates.

• To learn about the rules. . regulations and byelaws of the exchanges. • To understand the SEBI guidelines.25. Compliance Officers (Brokers) Module • To understand the statutes pertaining to the securities market.

• Fees . of questions: 60 • Maximum marks: 100 • Passing marks: 60 (60%). .1. There is negative marking for incorrect answers. certificates are valid for 5 years from the test date. • Certificate validity: For successful candidates.686/.(Rupees One Thousand Six Hundred and Eighty Six Only).• Test details Duration: 120 minutes No.

Compliance Officers (Corporates) Module • To understand the Companies Act.26. • To know about the Securities Contracts (Regulation) Act. • To know about the provisions of the listing agreement. 1956. 1956. .

1. There is negative marking for incorrect answers.(Rupees One Thousand Six Hundred and Eighty Six Only). .686/. of questions: 60 • Maximum marks: 100 • Passing marks: 60 (60%). certificates are valid for 5 years from the test date.• Test details Duration: 120 minutes No. • Certificate validity: For successful candidates. • Fees .

Information Security Auditors Module (Part-1) & Information Security Auditors Module (Part-2) • To understand the regulatory. legal and compliance issues in information security for financial markets.27. . • To know the provisions for business continuity plan. • To understand the security management practices and physical and environmental security.

There is negative marking for incorrect answers.528/.2.(Rupees Two Thousand Five Hundred Twenty Eight Only) each for Information Security Auditors Module (Part 1) and Information Security Auditors Module (Part 2). • Fees . • Certificate validity: For successful candidates. . certificates are valid for 2 years from the test date. of questions: 90 in each module (Part 1 & Part 2) • Maximum marks: 100 • Passing marks: 60 (60%) for each module (Part 1 & Part 2).• Test details Duration: 120 minutes per module (Part 1 & Part 2) No.

Who will benefit from this course? • • • • • • • • • • • • • • Students Teachers Investors Employees of BPOs/IT Companies Employees of Brokers/Sub-Brokers Housewives Anybody having interest in the Indian securities market Financial planners Analysts Equity researchers Anybody having interest in the Indian mutual fund industry Portfolio Managers Financial Institutions Anybody having interest in the Stock market operations .

• • • • • • • • • • • • Corporate Executives Employees of Export/Import Houses Anybody having interest in the derivatives market Employees of Banks. Insurance Companies" Primary Dealers Anybody having interest in the Indian money market Depository Particpants employees Employees of Mutual Funds Employees of Research Houses/Analysts/Researchers Anybody having interest in the Securities Market Anybody having interest in the Fixed Income Market Debt Market Dealers .

Registration • Online Registration @ https://www.nseindia.in • Offline Registration Download Forms @ http://www.co.com/education/content/of fline_register.htm .enit.

Features of On-line registration • On-line registration and access for updating candidate profile. . • Different modes for payment of fees. • Generation of Hall ticket. • Ability to schedule tests for any Exchange specified test centers as per requirement.

Test fees are valid for 180 days from the date of payment.FAQs • Who can join NCFM? No formal educational background is necessary for registration to the NCFM programme. However. Candidates need to enroll for the test(s) within 180 days from payment of fees. The candidate may enroll for the chosen module by filling up part-II of the said form. . candidates are expected to be numerate and comfortable with written English. The details regarding the test center. A candidate can seek testing and certification in any module of his choice. • Is there any deadline for taking the test? Yes. Nor is there an age requirement. date and time of test are informed to the candidate. • How to join NCFM? One can join NCFM by registering himself for the programme by filling up partI of the prescribed registration form. • Is it necessary to take test of all modules of the NCFM? No.

a certificate is mailed within 30 to 40 days from the test date. A certificate is mailed to the successful candidates within 15 to 20 days from the test date. Investment Planning Module and Tax Planning & Estate Planning Module. in case of Risk Analysis & Insurance Planning Module. . However. Retirement Planning & Employee Benefits Module.• When do I get my result? Marks are provided to the candidate immediately on submission of the answer paper.

Shrikandath Road.V. Calicut-NSE.N.Kannur 670001 Kerala . Saibaba Lane. Kannur-NSEiT 55K.Park. Cochin-NSE.iT Office premises #16/910 .TEST CENTERS IN KERALA 1.G. A-1. Calicut -673002 2.Bldg. Next to V G Saraf Memorial Hospital.iT 39/4609. 1st floor. Madathil Commercial Building . Oxford Business Centre.G. Off M. K. Road. (Opp to Kavitha Theatre) S.B. Annie Hall Road. P. Kochi – 682016 3. Ravipuram.

Kollam-NSEiT Sofia Complex . Anda Mukkam. Bennies INN. Kollam -1 5. Shastri Road.Contd……. Kottayam-NSEiT 1st floor. 2nd floor. Behind Hanuman Temple.686001 . 4. Kottayam .

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nseindia.com .REFERENCE…… • www.

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