NISM series 5a Chapter 3 Questions and Answers PDF Download
MCQs on 3.1 Structure of Mutual Funds in India
1. According to SEBI regulations, a mutual fund in India is defined as a fund established in the form of a ________.
a) Company
b) Partnership
c) Trust
d) Association
2.Mutual funds raise money by selling ________ to the public or a section of the public.
a) Shares
b) Bonds
c) Units
d) Securities
3.Which of the following assets can a mutual fund invest in, as specified by SEBI?
a) Gold and gold-related instruments
b) Silver and silver-related instruments
c) Real estate assets
d) All of the above
4.Mutual funds in India are governed by which act?
a) Indian Trusts Act, 1882
b) Companies Act, 2013
c) Securities Contracts (Regulation) Act, 1956
d) Indian Partnership Act, 1932
5. Who are the main persons behind the mutual fund business?
a) Trustees
b) Asset Management Company
c) Sponsors
d) Custodian
6. Who are the beneficiaries in a mutual fund trust?
a) Trustees
b) Sponsors
c) Investors
d) Custodians
7. The role of protecting the interests of the investors in a mutual fund is primarily that of the ________.
a) Trustees
b) Sponsors
c) Asset Management Company
d) Custodian
8. The day-to-day management of mutual fund schemes is handled by the ________.
a) Sponsors
b) Trustees
c) Asset Management Company
d) Custodian
9. Which agreement sets out the responsibilities of the Asset Management Company in managing the schemes?
a) Trust Deed
b) Investment Management Agreement
c) Registrar & Transfer Agent Agreement
d) Custodian Agreement
10. The custody of the assets of a mutual fund scheme is with the ________.
a) Trustees
b) Sponsors
c) Asset Management Company
d) Custodian
11. Who maintains the record of investors and their unit-holding in a mutual fund?
a) Trustees
b) Sponsors
c) Asset Management Company
d) Registrar & Transfer Agent
12. A mutual fund trust is governed by the provisions of which act?
a) SEBI Act, 1992
b) Companies Act, 2013
c) Indian Trusts Act, 1882
d) Securities Contracts (Regulation) Act, 1956
13. Who appoints the Asset Management Company in a mutual fund?
a) Sponsors
b) Trustees
c) Investors
d) Custodian
14. Which entity manages the custody of the assets in a mutual fund scheme?
a) Trustees
b) Sponsors
c) Asset Management Company
d) Custodian
15. Who is responsible for the day-to-day management of mutual fund schemes?
a) Trustees
b) Sponsors
c) Asset Management Company
d) Registrar & Transfer Agent
16. The legal structure of a mutual fund in India is established as a ________.
a) Company
b) Partnership
c) Trust
d) Association
17. The investment management agreement in a mutual fund is executed between the ________ and the Asset Management Company.
a) Trustees
b) Sponsors
c) Investors
d) Custodian
18. Which entity can be appointed as trustees in a mutual fund?
a) Individuals
b) Trustee company
c) Both individuals and trustee company
d) Custodian
19. The custody of assets in a mutual fund scheme is handled by the ________.
a) Trustees
b) Sponsors
c) Asset Management Company
d) Custodian
Answers
- c) Trust
- c) Units
- d) All of the above
- a) Indian Trusts Act, 1882
- c) Sponsors
- c) Investors
- a) Trustees
- c) Asset Management Company
- b) Investment Management Agreement
- d) Custodian
- d) Registrar & Transfer Agent
- c) Indian Trusts Act, 1882
- a) Sponsors
- d) Custodian
- c) Asset Management Company
- c) Trust
- a) Trustees
- c) Both individuals and trustee company
- d) Custodian
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PDF details
| Pdf quality | Excellent |
| Pdf size | 136 kb |
| Number of questions | 129 |
| Topics covered | Chapter 3 all topics |
| Questions type | Multiple Choice Questions |
⇒Download NISM VA Chapter 3 Full PDF: Legal Structure Of Mutual Funds In India All Topics Question Bank
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NISM VA Chapter 1: Investment Landscape All Topics MCQs PDF
NISM VA Chapter 2: Concept And Role Of A Mutual Fund All Topics Questions and Answers PDF