The intent of a(an) ______________ is basically to track the performance of the stock market.

• A) Municipal Bond
• B) T-Bill
• C) Index Fund
• D) None of the given options

Transfer fee can be used:

• A) For holding it with an outside source for safe keeping
• B) For the purpose of audit
• C) For getting permission to sale the shares
• D) For maintaining records and generating shareholder’s statements

If an investor wants to invest in a particular segment of the economy, which of the following type of fund is suitable for the investor?

• A) Balanced fund
• B) Sector fund
• C) Special fund
• D) Growth fund

Aggressive growth funds are ___________.

• A) None of the given options
• B) High level risk funds
• C) Low level risk funds
• D) Moderate level risk funds

The primary objective of____________ is to seek long-term appreciation.

• A) Growth Funds
• B) Income Funds
• C) Equity Funds
• D) Index Funds

Certain fixed expenses which are built into their per share net asset value are known as:

• A) Costs of doing business
• B) Amounts of investments
• C) Costs of brokers
• D) Marketing costs

Investors in close-ended funds who wish to liquidate their positions must __________.

• A) Sell their shares to the issuer at a discount to Net Asset Value
• B) Sell their shares to the issuer at a premium to Net Asset Value
• C) Sell their shares to the issuer for Net Asset Value
• D) Sell their shares through a broker

We can inquire that the investment is registered from which of the following?

• A) www.finance.gov.pk
• B) www.secp.gov.pk
• C) www.sbp.org.pk
• D) www.kse.com.pk

There is very little difference between balanced fund and------------------

• A) Specialized funds
• B) Index fund
• C) Growth & income fund
• D) Growth fund

Which of the following types of funds will be suitable for an investor who is interested in the growth of principal amount and long term investment?

• A) Sector funds
• B) Growth funds
• C) Balanced funds
• D) Special funds

A risk loving person should invest in which of the following?

• A) Bonds
• B) Saving accounts
• C) Shares
• D) T-Bills

High return is a characteristic of which of the following investment?

• A) No risk investment
• B) Less profitable investment
• C) Risky investment
• D) Safe investment

Which country has introduced the mutual funds for the first time?

• A) Norway
• B) China
• C) Italy
• D) Holland

What percent should be invested in different sectors for the diversification of investment?

• A) 65% to 85%
• B) 60% to 85%
• C) 45% to 65%
• D) 50% to 65%

Investment banks help companies and governments to raise money by issuing and selling securities in which of the following market?

• A) Money market
• B) Capital market
• C) Derivatives market
• D) Forex market

New investors are invited in which of the following scheme but their money is used to pay back the old investors?

• A) Red Flag Scheme
• B) Pyramid scheme
• C) Green flag scheme
• D) Pump & dump rip-off

Which of the following depicts the purpose of account maintenance fee in case of mutual funds?

• A) To deduct tax on profits
• B) To offset the costs of maintaining shareholders
• C) To register the accounts with SECP
• D) To promote the investors

Which of the following involves fee for data processing, pricing of fund shares and preparing financial statements?

• A) Switching fee
• B) Redemption fee
• C) Investment advisory fee
• D) Maintenance fee

Mr. A is risk loving person when going for making investment decisions. Usually, he is likely to receive __________ on his investment.

• A) No returns
• B) Negative returns
• C) Low returns
• D) High returns

The method to calculate fund’s risk relative to the overall market is a:

• A) Tax Bracket
• B) Beta coefficient
• C) Net Profit
• D) Alpha coefficient