Assignment A

 

1. Enumerate the basis principles of Technical Analysis?

Ans.

 

2. Discuss some recent trends in NSE? Explain the functions of NSDL? 

Ans.

 

3. Discuss the steps involved in the process of book building?

Ans.

 

4. Discuss some prominent features of an investment program?

Ans.

 

5. Discuss the steps involved in the process of book building?

Ans.

 

6. Describe the concept of Industry Life Cycle?

Ans.

 

7. How does reverse book building works?

Ans.

 

Assignment B

Case Detail:

Stock market success should benefit Rural India

Prime Minister Narendra Modi on Saturday stressed the crucial role played by financial markets for the growth of the Indian economy but warned of damages they can wreak if not properly regulated.

Inaugurating the new campus of National Institute of Securities Markets (NISM) run by the stock markets regulator Securities and Exchange Board of India (Sebi) at Panvel, Modi said India enjoyed a good name for its well-regulated securities markets and for them to function effectively, the participants needed to be well-informed.

"The government is very keen to encourage start-ups... Stock markets are essential for the start-up system," Modi said. Calling for wider inclusion, Modi said our markets must show that they were able to successfully raise capital for projects benefiting the vast majority of our population, particularly related to infrastructure.

"The true measure of success (of the stock markets) is in its impact in villages, not on Dalal Street or Lutyens Delhi. Sebi should work for closer link between spot markets like e-NAM and derivatives markets to benefit the farmers," Modi urged. Discussing the economic highlights, the Prime Minister said in less than three years, the government has transformed the economy.

"In 2012-2013, fiscal deficit had reached alarming levels, currency was falling sharply, inflation was high and current account deficit was rising. "Now, we have slashed fiscal deficit, public investments have increased, forex reserves are high, inflation is low at less than four per cent compared to nearly double-digit in the previous regime," Modi pointed out.

He said the government has progressed on 'Ease of Doing Business', the GST, pending since years, would soon be a reality and FDI has reached record levels, even "our critics acknowledge our speed of work". Modi made it clear that India has a bright future in the long run, and the government would not take decisions for short-terms benefits, and would not shy from difficult decisions if they were in the interest of the nation. "My aim it to make India developed in one generation," he concluded.

 

Question

1. What the case is all about? 

Ans.

 

2. What is the real barometer of a stock exchange as per Prime minister and why? 

Ans.

 

3. What does it mean to develop India in one generation? How and why it is possible?

Ans.

 

Assignment C

 

Question No.  1 Marks - 10

Liquidity risk is associated with secondary market transactions.

 

Options

1. TRUE

2. FALSE

3. Can't Say

4. Sometimes

 

Question No.  2 Marks - 10

Trustee is a self-governing organization that operates as bondholders ………………

 

Options

1. Broker

2. Representative

3. Gaurdian

4. Gurantee

 

Question No.  3 Marks - 10

A price weighted index is an arithmetic mean of …………. Prices.

 

Options

1. current

2. furure

3. quarter

4. None

 

Question No.  4 Marks - 10

Dalal Street is in …. City.

 

Options

1. Delhi

2. Jaipur

3. Kolkatta

4. None

 

Question No.  5 Marks - 10

Financial hazard is most related with use of ………...financing by corporations.

 

Options

1. Equity

2. Debt

3. Private

4. Loan

 

Question No.  6 Marks - 10

Bondholders usually accept interest payments each ……………. Months.

 

Options

1. 3

2. 6

3. 9

4. 12

 

Question No.  7 Marks - 10

Ambiguity introduced by way by which organization finances its investments is ……. Risk.

 

Options

1. Monetary

2. Credit

3. Financial

4. Country

 

Question No.  8 Marks - 10

Standard deviation determine ………….. risk of security.

 

Options

1. Systematic

2. Unsystematic

3. Premium

4. Total

 

Question No.  9 Marks - 10

A corporate bond is a corporation's write undertaking that it will refund a specific amount of money plus

 

Options

1. Premium

2. Interest

3. Nothing

4. Security

 

Question No.  10 Marks - 10

When the investment banker bears the risk of not being able to sell a new security at the established price, this is known as ……………….. .

 

Options

1. Arbitrage

2. FPO

3. Underwriting

4. Possession

 

Question No.  11 Marks - 10

A best efforts offering is sometimes used in connection with a ……………. of new, long-term securities.

 

Options

1. Public Issue

2. Private Issue

3. Bonus Issue

4. Collected Issue

 

Question No.  12 Marks - 10

Rule ……… permits what is known as a shelf registration.

 

Options

1. 413

2. 414

3. 415

4. 416

 

Question No.  13 Marks - 10

As per practice, reservation for retail investors in 100% book building process is only …….%.

 

Options

1. 5

2. 35

3. 25

4. 15

 

Question No.  14 Marks - 10

Ranking of issues is done under following technique?

 

Options

1. Probability Impact Matrix

2. Traditional Matrix

3. Modern Matrix

4. Compatible Matrix

 

Question No.  15 Marks - 10

Which is not the filter criterion to rank various issues?

 

Options

1. Actionality

2. Criticality

3. Urgency

4. Merging

 

Question No.  16 Marks - 10

It has beeen noticed that in …………. City there is much concentration of merchant bankers.

 

Options

1. Delhi

2. Mumbai

3. Hyderabad

4. Chandigarh

 

Question No.  17 Marks - 10

Wide network of ……………. all over India and abroad is required for successful marketing of public issues.

 

Options

1. Merchant bankers

2. Underwriters

3. Banks

4. Postal offices

 

Question No.  18 Marks - 10

NASQAQ stands for National Association of Securities Dealers ………….. Quotations

 

Options

1. American

2. Australian

3. Automated

4. Automatic

 

Question No.  19 Marks - 10

Which of the following is not a method a firm can use to publicly issue common stock?

 

Options

1. Private Placement

2. Publicity

3. Public Placement

4. Correlation

 

Question No.  20 Marks - 10

Which of the following is not a method a firm can use to finance their long-term needs externally?

 

Options

1. Company Earnings

2. Accounted Earnings

3. New Earnings

4. Retained Earnings

 

Question No.  21 Marks - 10

FPO stands for follow on …………… offer.

 

Options

1. Private

2. Public

3. Public-private

4. partnership

 

Question No.  22 Marks - 10

If an investment banker has agreed to sell a new issue of securities on a best-efforts basis, the issue results in no assumption of underwriting risk by the ………………. .

 

Options

1. BOD

2. Government

3. Investment Banker

4. Underwriter

 

Question No.  23 Marks - 10

Role of merchant bankers

 

Options

1. M&A

2. Project Councelling

3. Forming Joint Ventures

4. All

 

Question No.  24 Marks - 10

Formal merchant banking activity in India was originated in______.

 

Options

1. 1979

2. 1969

3. 1989

4. 1999

 

Question No.  25 Marks - 10

The early growth of merchant banking in the country is assigned to the ________.

 

Options

1. FEMA

2. FERA

3. Securities Act

4. IT Act

 

Question No.  26 Marks - 10

A Merchant bank is a financial institution conducting money market activities and …………. .

 

Options

1. Lending

2. Investment Service

3. underwriting

4. All

 

Question No.  27 Marks - 10

Issues identification is more important than it is in the …………………… approach.

 

Options

1. Conventional

2. Modern

3. Traditional

4. Classical

 

Question No.  28 Marks - 10

What happens, according to the text, to the average common stock price immediately after the announcement of a new equity issue by a publicly traded firm?

 

Options

1. Fall

2. Stable

3. Increase

4. No Change

 

Question No.  29 Marks - 10

NYSE stands for …………… Stock Exchange.

 

Options

1. New-York

2. New Delhi

3. New Zeeland

4. Nariman Point

 

Question No.  30 Marks - 10

If the market price of a stock "rights-on" is $50 a share, the subscription price is $40 a share, and it takes nine rights to buy an additional share of common stock, the theoretical value of a right when the stock is selling "rights-on " is how much?

 

Options

1. $5

2. $4

3. $2

4. $1

 

Question No.  31 Marks - 10

The __________ is a disclosure document filed with the SEC in order to register a new security and includes the prospectus and other SEC required information.

 

Options

1. Prospectus

2. Registration Document

3. Line Document

4. Straight Document

 

Question No.  32 Marks - 10

Who …………… earn a spread based on the difference between the purchase price from the firm and the sales price to investors of the securities being underwritten.

 

Options

1. International Bankers

2. Merchant Bankers

3. Investment Bankers

4. Indian Bankers

 

Question No.  33 Marks - 10

Disinvestment is normally done for ……………… shares.

 

Options

1. Private

2. Public

3. Bonus

4. All

 

Question No.  34 Marks - 10

Capital Market Line is firstly initiated by …….

 

Options

1. Adam

2. Sharpe

3. Martkowitz

4. Linterr

 

Question No.  35 Marks - 10

NSE stands for …………. Stock Exchange?

 

Options

1. New Delhi

2. Nagpur

3. National

4. New york

 

Question No.  36 Marks - 10

Internal Trends depict …………………… .

 

Options

1. Strengths

2. Weaknesses

3. None

4. Both

 

Question No.  37 Marks - 10

FTD stands for ………… trading day.

 

Options

1. First

2. Foremost

3. Future

4. Fast

 

Question No.  38 Marks - 10

NIFTY and DSE belong to …………….

 

Options

1. China

2. India

3. Japan

4. USA

 

Question No.  39 Marks - 10

UTI stands for …………… Trust of India.

 

Options

1. United

2. Unit

3. Union

4. Unversal

 

Question No.  40 Marks - 10

Debentures are issued by …………. Companies.

 

Options

1. Public

2. SMEs

3. Private

4. Financially Sound