Tag: securities exchange board of india (sebi)

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Questions Related to securities exchange board of india (sebi)

Multiple choice commerce securities exchange board of india (sebi) objectives of sebi significance, functions of stock exchange, bse & nse stock exchanges functions of sebi sebi securities and exchange board of india (sebi)

NSE commenced futures trading in the year.

  1. $1999$
  2. $2000$
  3. $2001$
  4. $2002$
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

The National Stock Exchange of India Limited (NSE) commenced trading in derivatives with the launch of index futures on June 12, 2000.

Multiple choice commerce securities exchange board of india (sebi) objectives of sebi significance, functions of stock exchange, bse & nse stock exchanges functions of sebi sebi securities and exchange board of india (sebi)

The settlement cycle in NSE is?

  1. $T+5$
  2. $T+3$
  3. $T+2$
  4. $T+1$
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

In a rolling settlement , each trading day is considered as a trading period and trades executed during the day are settled based on net obligations for the day. In India, trades in rolling settlement are settled on a T+2 basis i.e. on the 2nd working day after a trade.

Multiple choice commerce securities exchange board of india (sebi) objectives of sebi significance, functions of stock exchange, bse & nse stock exchanges functions of sebi sebi securities and exchange board of india (sebi)

Clearing and settlement operations of NSC is carried out by.

  1. NSDL

  2. NSCCL

  3. SBI

  4. CDSL
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

The clearing and settlement operations of NSE are carried out by NSCCL. NSCCL (National Securities Clearing Corporation Ltd.) 

Multiple choice commerce securities exchange board of india (sebi) objectives of sebi significance, functions of stock exchange, bse & nse stock exchanges functions of sebi sebi securities and exchange board of india (sebi)

National Stock Exchange of India was recognised as stock exchange in the year.

  1. $1992$
  2. $1993$
  3. $1994$
  4. $1995$
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

1992

The National Stock Exchange of India Limited is the leading stock exchange of India, located in Mumbai. The NSE was established in 1992 as the first demutualized electronic exchange in the country.

Multiple choice commerce securities exchange board of india (sebi) objectives of sebi significance, functions of stock exchange, bse & nse stock exchanges functions of sebi sebi securities and exchange board of india (sebi)

To be listed on NSEI, the minimum capital requirements for a company.

  1. Rs. $5$ crores
  2. Rs. $3$ crores
  3. Rs. $6$ crores
  4. Rs. $1$ crores
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

To be listed on NSEI, the minimum capital requirements for a company is Rs. 3 crores.

Multiple choice commerce securities exchange board of india (sebi) objectives of sebi significance, functions of stock exchange, bse & nse stock exchanges functions of sebi sebi securities and exchange board of india (sebi)

Investors can sell their mutual funds whenever they want.

  1. True

  2. False
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Investors can sell their mutual funds whenever they want- this is a true statement. If the investors wish to redeem mutual funds, they can redeem at any time. Mutual funds do not have a fixed maturity period. Mutual fund is a collective investment that pools together the money of a large number of investors to purchase a number of securities, like stocks, bonds, etc.

Multiple choice commerce securities exchange board of india (sebi) objectives of sebi significance, functions of stock exchange, bse & nse stock exchanges functions of sebi sebi securities and exchange board of india (sebi)

The fund manager always invests in more than one asset class (equities, debts, money market instruments etc.) to spread the risks. It is called ______.

  1. diversification

  2. liquidity

  3. expert management

  4. all of the above
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

The fund manager always invests in more than one asset class (equities, debts, money market instruments etc.) to spread the risks. It is called diversification. In terms of finance, diversification can be defined as a process of allocating capital in such a way that the exposure to any particular asset gets reduced. It helps to reduce risk and volatility by investing in variety of assets.

Multiple choice commerce securities exchange board of india (sebi) objectives of sebi significance, functions of stock exchange, bse & nse stock exchanges functions of sebi sebi securities and exchange board of india (sebi)

The OTCEI is a company incorporated under the Companies Act 1956.

  1. True

  2. False
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

The OTCEI is a company incorporated under the Companies Act 1956. OTCEI was set up to provide small and medium companies an access to capital market for raising finance.  OCTCEI is advantageous to the company because it provides methods of raising funds through capital market instruments which are priced fairly.

Multiple choice commerce securities exchange board of india (sebi) objectives of sebi significance, functions of stock exchange, bse & nse stock exchanges functions of sebi sebi securities and exchange board of india (sebi)

The on-line trading system of BSE is known as _____.

  1. BOLT

  2. NEAT

  3. GUI

  4. None of the above
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

The on-line trading system of BSE is known as BOLT. BOLT is a screen-based automated trading platform. It can be referred as a centralized exchange-based trading system of BSE. It helps the investors to trade from anywhere in the world on BSE trading platform.

Multiple choice commerce securities exchange board of india (sebi) objectives of sebi significance, functions of stock exchange, bse & nse stock exchanges functions of sebi sebi securities and exchange board of india (sebi)

OTCEI is advantageous to the company because it _____.

  1. makes investment in stocks easier

  2. provides method of raising funds through capital market instruments which are priced fairly

  3. provides definite liquidity to investors

  4. all of the above
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

The Over the Counter Exchange of India (OTCEI) was established to provide small and medium companies access to the capital market. It allows for fair pricing and a transparent mechanism for raising funds.