Association of Mutual Funds in India (AMFI) 2007 AMFI Mutual Fund Basic Module MODEL MOCK TEST -university question paper

b. High regular income
c. Safety of principal
d. No loads

15.Some close-ended funds are quoted at a discount to their NAV because
a. Of high expense ratios
b. Investors do not expect the current NAV to be sustained in future
c. The repurchase price fixed by the fund in lower than the NAV
d. Of the inherent risk involved in investing in such kind of funds

16.The NAV of every scheme should be updated on AMFI's website
a. Every quarter
b. Every month
c. Every hour
d. Every day

17.Debt funds target
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a. Low risk and stable income
b. Protection of principal
c. High growth with risk
d. Long term capital appreciation

18.In which of the subsequent do debt funds not invest
a. Government debt instruments
b. Corporate paper
c. Financial institutions bonds
d. Equity of private companies

19.Which of the subsequent risks do not affect a debt fund
a. Default by issuer on payment of interest or principal
b. Price fluctuations of the debt securities
c. Share price movements
d. Interest volatility

20.Assured return or guaranteed monthly income plans are essentially
a. Hybrid funds
b. Growth Funds
c. Debt/Income funds
d. Sector funds

21.A Fixed Term Plan Series is
a. As open-ended fund
b. A close-ended fund
c. A fixed term bank deposit
d. A fixed term corporate bond

22.NAVs of equity funds are not affected by
a. Stock market movements
b. Events affecting the industry/sector in which the fund has invested
c. Happenings in the companies in which the fund has invested
d. Real estate prices

23.The greatest potential for growth in capital is offered by
a. Debt funds
b. Gilt funds
c. Growth funds
d. Balanced funds

24.A Systematic Withdrawal Plan, allows investors to get back the principal amounts
invested in addition to the income on investment
a. actual
b. False

25.Which of the subsequent is untrue of an automatic reinvestment plan ?
a. The plan allows for automatic reinvestment of all income and capital gains
b. Automatic reinvestment allows for accumulation of additional units of the fund
c. The major benefit of automatic reinvestment is compounding
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d. The benefit of automatic reinvestment is often lost on account of the heavy load

Earning:   Approval pending.