NISM-Series-XV: Research Analyst Certification Examination

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What is the role of Research Analyst?

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Analysis and Decision making, the two imperative parameters involved in are affected by
which of the following factors?

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Sell side Analyst generally work for money managers like mutual funds, hedge funds,
portfolio managers who purchase and sell securities for their own investment accounts or
on behalf of their clients. State whether True or False.

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Which of these Qualities are desired in a good research analyst?

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As per SCRA, the term securities include which of the following?

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Along with SEBI and other regulators under Companies Act, RBI also regulates the Equity
Shares Market. State whether True or False.

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Where the entire face value of the debenture is converted into equity shares, it is known
as _____________.

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Depository Receipts which are issued in India and listed on an Indian Stock Exchange with
foreign stocks as underlying shares, is known as ____________.

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A bond is issued at a face value of Rs.100 and a coupon of 10% p.a. The interest rates in
the market have increased subsequently. This bond is likely to quote at:

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The __________ of an equity share is the discounted value of its future benefits to the

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Calculate the Enterprise Value based on the given information: Market Capitalisation= 10
lakhs; Total Debt= 3 lakhs; Cash = 4 lakhs.

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Bonds which have embedded call option in them are known as Callable Bonds. State
whether True or False.

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Speculation is _____________ calls made with leveraged funds, unlike investing money
which is a _________ disciplined activity for creating wealth.

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Fundamental analysis includes which of the following?

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The time span over which price and volume are observed factors in the impact of long
term factors that influence prices over a period of time. State whether True or False.

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In technical analysis, impact of day to day fluctuations in prices is annulled by which of
the following factors?

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Which of the following statement about limitation of quantitative approach to
fundamental analysis is correct?

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Focus of microeconomics is on factors that influence aggregate supply and demand in an
economy such as unemployment rates, gross domestic product (GDP), overall price levels,
inflation, savings rate, investment rate etc. State whether True or False.

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Two major influencers of the public policies in an economy are __________ &

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National income of an economy can be measured through which of the following

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The fiscal deficit is bridged by the government through market borrowings, both shortterm
and long term. State whether True or False.

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The tyre industry in a country comprised of three organised players and several
unorganised players. A sample survey revealed that around 20% of total sales came from
unorganised sector. The three major companies reported revenue of Rs 6,000 crore, Rs
8,000 crore and Rs 10,000 crore, respectively, for the year 2019. Which of the following is
closest to the fair estimate of overall size of tyre market in that country for the year 2019?

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An industry where rivalry is high, the end result will be _____ pricing power and ______
incomes for the industry participants.

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Who can exert a lot of pressure and dictate prices, if there are a large number of sellers
with similar products/services?

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Which of the following is considered as an economic factor in PESTLE analysis?

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What does Industry structure in Structure Conduct Performance (SCP) analysis refer to?

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If financials are great, it is expected that the quality of business is also good. State
whether True or False.

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Corporate Governance takes into account which aspect of the Management?

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Shareholding pattern and changes therein have to be informed by the companies to
exchanges periodically. State whether True or False.

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A good analyst must keep a track of disclosures, commitments and deliveries of an
organization periodically to adjudge a company. State whether True or False.

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Which of the following items are found in an income statement?

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Which section in the Cash Flow statement will provide the information about the amount
of funds that a company borrowed during the preceding year?

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Which of the following measures the ability of the company to satisfy its short term
obligations as and when they come due?

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Price to earnings ratio of a business is 10, price to book value ratio of this business is 5,
book value per share is Rs. 15 and outstanding number of shares are 10,000, what would
be the return on equity of this business?

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When companies give new shares to their existing shareholders without any
consideration, it is known as _________.

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Companies Act requires that a company which wants to raise further capital through an
issue of shares must first offer them to the existing shareholders and such an offer of
shares is known as ______.

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Changing the structure of share capital of a company by increasing the par value of its
shares in a defined ratio and correspondingly reducing the number of shares to maintain
the paid up/subscribed capital is known as __________.

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Delisting of shares refers to the ________ removal of the shares of a company from being
listed on a stock exchange.

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If interest rates in the economy rise, price of the bond would ________.

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Which of the following is a non-cash charge?

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What is the earnings yield, if the price of a stock is Rs. 195 and EPS is Rs. 13?

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How is price to earnings ratio calculated?

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Calling feature in bonds _____.

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____________ bias can prevent investors from benefiting from market corrections.

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Business risk is also known as operating risk, because this risk is caused by factors that
affect the operations of the company. State whether True or False.

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Dividend is a small component of the total returns from the equity. State whether True or

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For analysts, which is the authentic source to check facts on a Company?

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Leverage ratio is a part of __________ parameter of business analysis.

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Which of the following is not a valuation parameter for business analysis?

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If a stock has exceeded its Target Price, an analyst may recommend __________.

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Unhealthy practice in the Securities Markets includes which of the following?

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Which is the central bank in India with the responsibility of administering the monetary

53 / 54

Which authority was set up with the primary responsibility of promoting old age income
security by establishing, developing and regulating pension funds?

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"The bye-laws of the stock exchanges are same across exchanges and need to be
approved by SEBI". State whether True or False.

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