In which year mutual funds were introduced as investment trusts?

• A) 1795
• B) 1774
• C) 1766
• D) 1786

Income funds are ___________.

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

Operational risk is also referred as:

• A) Risk of instability
• B) Risk of management
• C) Risk of research
• D) Risk of error

In which of the following fund there is high degree of safety but limited price rise potential?

• A) Income funds
• B) Balanced fund
• C) Growth funds
• D) Money market funds

Index funds are:

• A) Passively managed
• B) All of the given options
• C) Aggressively managed
• D) Actively managed

Which of the following is NOT true about the investment banks?

• A) It performs activities such as restructuring existing corporations
• B) It raises debt and equity securities for corporations
• C) It performs activities such as advising on mergers and acquisitions
• D) It deals in the international market on behalf of government

Which of the following depicts roles performed by investment bankers?

• A) Market new stocks and bond issues for firms
• B) All of the given options
• C) Provide advice to the firms as to market conditions, price etc.
• D) Design securities with desirable properties

All of the following are the steps in making investment decision EXCEPT:

• A) Getting a clear picture of fees & associated cost, taxes etc.
• B) Collecting as much information as possible on different mutual funds
• C) Drawing down investment objective
• D) Getting a clear picture of company’s audit policies

Which one of the following has a primary function of buying and selling products on behalf of the bank's clients and also for the bank itself?

• A) Advising Bank
• B) Investment Bank
• C) Confirming Bank
• D) Issuing Bank

From which of the following the maintenance fee is deducted?

• A) Principle amount
• B) Liabilities
• C) Dividend
• D) Assets of funds

Which of the following funds allow investors to transfer full or a part of investment to any other fund within its family?

• A) Open-ended mutual funds
• B) Closed-ended mutual funds
• C) None of the given options
• D) Global funds

Which of the following causes an increase in the administrative costs involved in keeping track of customer accounts made?

• A) Constant Retaining
• B) Constant Switching
• C) Constant Transferring
• D) Constant Demanding

A banking transaction through ATM costs ______ as much a transaction conducted over the counter in a traditional branch.

• A) One fifth
• B) One forth
• C) One half
• D) One third

The common characteristics of open ended and close ended is:

• A) Shares of both are traded in stock exchange
• B) Both are managed by investment companies
• C) Both are responsible to buy back their shares
• D) Both are just like joint stock companies

Mutual funds are called:

• A) Open ended trust corporations
• B) Open ended investment companies
• C) Close ended investment companies
• D) Close ended trust corporations

IRA can be described as:

• A) International rating agency
• B) International reading association
• C) Individual retirement account
• D) Internal revenue account

To get an insurer’s underwriting performance we combine which of the following ratios?

• A) Expense ratio + earning ratio
• B) Loss ratio + expenses ratio
• C) Loss ratio + earning ratio
• D) Earning ratio – expense ratio

Plant & machinery is about ------------- of aggregate investment in leasing.

• A) 60%
• B) 90%
• C) 80%
• D) 70%

Which of the following is not a non-farming sector?

• A) Dairy farming
• B) Fruits and vegetables
• C) Poultry
• D) Livestock

All are the conditions, farmer has to fulfill for getting agricultural loan EXCEPT:

• A) Applicant must have proper security
• B) Applicant must be defaulter
• C) Applicant must be holder of N.I.C
• D) Applicant must be a genuine farmer