Quiz II

The following is the benefits of investing through mutual funds:

• Professional investment Management

• Risk reduction through diversification

• Convenience

• All the above

Which of the following by focusing on just one sector of the economy:

• Large cap funds

• mid cap fundss

• small cap funds

• sector fund

The following fund is an example of passive fund management:

• Large cap funds

• mid cap funds

• small cap funds

• Index funds

Which of the following equity funds will have relatively low transaction cost:

• Large cap funds

• mid cap funds

• small cap funds

• Index funds

The NAV of the following fund is directly influenced by changes in interest rates.

• Equity funds

• Index funds

• ELSS

• Debt funds

NAV of bond funds and interest rates are

• Inversely related

• Positively related

• Not related

• None of the above

The types of securities purchased by the fund, depends on

• the investment objectives of the fund

• decisions of investor

• decisions of RBI

• Decisions of fund advisors

The following schemes have the features of: Continuous sale and purchase of units at NAV or NAV related prices, Investor can enter and exit the scheme any time during the life of a fund The scheme does not have specific time frame

• Open ended scheme

• Close ended scheme

• Interval scheme

• All the above

The following schemes have the features of: Investors can buy units from the fund house during its NFO. To provide liquidity to the investors of such units listing is compulsory of such schemes.

• Open ended scheme

• Close ended scheme

• Interval scheme

• All the above

The following financial intermediary is Pass-through-structure in the true sense of the word:

• Bank

• NBFCs

• Leasing Companies

• Mutual funds