Association of Mutual Funds in India (AMFI) 2008 AMFI Mutual Fund Basic Module Model Mock Test A - Question Paper

28. Investor should track mutual funds in which he has invested because
a) He comes to know the performance of the fund
b) The annual reports inform him about the NAV of the fund
c) Take decision of keeping. Liquidating or acquiring mutual fund
d) None of the above

29. Which of the subsequent sales practices is prescribed by regulation?
a) AMFI code of Ethics
b) SEBI Advertising code
c) AMFI's code of Agents
d) None of the above

30. What portfolio mixed would you recommend to the 56 years old client?
a) 40% in Equity & 60 % in Debt funds
b) 20% Equity, 20% in Liquid & 60% in Debt funds
c) 40% in Equity & 60% in Balanced funds
d) 100% in Monthly Income schemes

31. The 1st time investor would be well advised to refer to:
a) Detailed offer document
b) Key info memorandum
c) Either of the above
d) None of the above

32. Commission are not paid to distributors for
a) Any out of pocket expenses incurred which attracting investors
b) For bringing in investors to the fund
c) To give extra returns to the investors
d) all of the above

33. In case of the closes end scheme what is the periodicity of amortization of problem expenses.
a) Weekly
b) Quarterly
c) Half yearly
d) Yearly

34. Which of the subsequent is not a balanced fund?
a) 50% equity 50% debt
b) 65% equity 35% debt
c) 35% equity 65% debt
d) 90% equity 10% debt

35. AMFI code of ethics broadly covers the subsequent areas.
a) Management of the fund ought to be in the interest of the unit-holders.
b) High standards of service are expected from funds.
c) Both a and b.
d) Neither a nor b.

36. Which of the subsequent are important criteria for comparison of fund performance?
a) Portfolio composition
b) Maturity profile
c) Fund size
d) None of the above.

37. Jacob's four step program includes
a) work with investors to develop long term goals
b) determine asset allocation of investment portfolio
c) neither of the above
d) both a and b

38. Maximum permissible investment by a mutual fund in money market securities during the 1st six months from allotment of units in an IPO is -
a) 100 %
b) 60 %
c) 50 %
d) Depends on whether it is an equity scheme or a debt scheme

39. Which of the subsequent statements is true?
a) Open-end schemes have variable unit capital.
b) Open end schemes can be listed in the stock market.

Earning:   Approval pending.