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NISM XA Mini Quiz – Test Your Knowledge!
1. What is the function of the primary market in the securities market?
A. To provide a platform for buying and selling securities
B. To issue new securities to the public
C. To provide a platform for trading derivatives
D. To regulate the securities market
2. Why is diversification important when investing in equity instruments?
A. It increases the chances of high returns
B. It helps to spread the risk
C. It ensures guaranteed returns
D. It enables buying of shares at a lower price
3. What are the different types of investment products available in the market?
A. Equity
B. Fixed Income
C. Commodities
D. All of the above
4. What action might SEBI take if a company is found misusing its name and logo in their communications?
A. SEBI will ignore the issue as it is not in their jurisdiction
B. SEBI may warn the investors and take legal actions against the company
C. SEBI will ask the company to change their logo
D. SEBI will ask the company to pay a fine
5. What is a possible consequence for a company like Reliance Infra if they manage to escape insolvency?
A. The company's shares might fall drastically
B. The company may face legal action
C. The company's shares may soar
D. The company may be forced to shut down
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