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This set of Indian Financial System Multiple Choice Questions & Answers (MCQs) focuses on Indian Financial System Set 7

Q1 | ALBM (Automated Lending &Borrowing Mechanism) was introduced by
  • nsdl
  • sebi
  • nsccl
  • cdsl
Q2 | under public issue of shares, reservation for permanent employees
  • 10%
  • 25%
  • 15%
  • 50%
Q3 | The conditions to be satisfied by a public company for issuing Right shares arespecified in --------------of Companies Act.1956
  • sec.75
  • sec.79
  • sec.81
  • sec.91
Q4 | ----------- is a method of cancellation of shares
  • book building
  • bonus issue
  • buy back
  • reissue
Q5 | Which of the following is / are method of Buy back of shares
  • tender offers
  • open offers
  • dutch auction
  • all the above
Q6 | Over the Counter Exchange of India commenced operation in the year
  • 1988
  • 1992
  • 1995
  • 1989
Q7 | Members of the OTCEI are---------- only
  • individuals
  • corporates
  • financial institution
  • banks
Q8 | The whole sale market segment for NSE is meant for
  • corporate securities
  • govt.securities
  • securities of mncs
  • securities of financial institutions
Q9 | As per SEBI guidelines, a new company which has not completed 12 monthscommercial productions has to issue shares at -------
  • discount
  • premium
  • par
  • any of the above
Q10 | National Stock Exchange (NSE) established in the year
  • 1990
  • 1992
  • 1995
  • 1999
Q11 | Method of trading in NSE is
  • floor based- order driven
  • screen based- code driven
  • screen based - order driven
  • floor based - quote driven
Q12 | Method of trading in OTCEI is
  • floor based- order driven
  • screen based- code driven
  • screen based - order driven
  • floor based - quote driven
Q13 | -------- are eligible to list in OTCEI
  • small companies
  • large companies
  • medium size companies
  • small and medium size companies which are not listed in any other stock exchange
Q14 | Discount and Finance House of India (DFHI) mainly deals in
  • commercial bills
  • corporate securities
  • treasury bills
  • commercial papers
Q15 | -------- of shares is the first step in depository process
  • mutualisation
  • mobilisation
  • immobilisation
  • rematerialisation
Q16 | In depository system, --------- is a link between depository and the owner.
  • depository participant
  • register and transfer agent
  • issuer
  • custodian.
Q17 | “A central location for keeping securities on deposit” is
  • stock exchange
  • investment bank
  • depository
  • merchant banks
Q18 | The group of shares which are not permitted for short selling are
  • a group
  • b group
  • t group
  • none of these
Q19 | --------- group includes shares of companies which have failed to comply with listingrequirements
  • a group
  • b group
  • t group
  • z group
Q20 | In listed scrips, --------- group includes small cap stocks.
  • s group
  • ts group
  • t group
  • z group
Q21 | Shares of well established and financially sound compnies,with very little investmentrisk and good history of earnings is known as
  • alpha shares
  • blue chip shares
  • star stock
  • beta stock
Q22 | In a stock exchange where the ownership, management and trading are concentrated in asingle group, it is called
  • mutual exchange
  • recognised exchange
  • dominant exchange
  • un -recognised exchange
Q23 | In India, currently method of calculation of stock indexes is
  • free float market capitalisation
  • full float market capitalisation
  • fixed float market capitalisation
  • minimum float market capitalisation
Q24 | Fully automated screen based trading system in NSE is known as
  • bolt
  • albm
  • bliss
  • neat
Q25 | The Chief promoter of National Securities Depository Limited (NSDL) is
  • nabard
  • bse
  • nsccl
  • nse