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This set of Financial Markets Multiple Choice Questions & Answers (MCQs) focuses on Financial Markets Set 3

Q1 | A person appointed by a stock broker to assist him in the business of securities tradingis called --------------‐.
  • sub broker
  • tarawaniwalas
  • authorized clerk
  • none of these
Q2 | Speculators who neither buy nor sell securities in the market but still trade on themare called ----------‐‐.
  • wolves
  • stags
  • bears
  • none of these
Q3 | Member of stock exchanges is called ---------------‐‐.
  • stock broker
  • investor
  • issuer
  • none of these
Q4 | --------‐‐‐‐‐‐ buy and sell securities on behalf of the investing public.
  • arbitrage
  • commission brokers
  • stock broker
  • none of these
Q5 | ------------‐‐‐ is the person who buys securities with a view to sell them in future at aprofit.
  • speculator
  • issuer
  • stock brokers
  • none of these
Q6 | A person who sells the shares with the expectation of buying them in future at areduced price.
  • bull
  • bear
  • stag
  • none of these
Q7 | In the Indian stock exchange, a bull is known as ------------.
  • badla
  • tejiwala
  • mandiwala
  • none of these
Q8 | An order for the purchase of securities of a fixed price is known as --------------‐‐‐‐.
  • limit order
  • open order
  • stop loss order
  • none of these
Q9 | The electronic clearing and Depository system set up by the ---------‐‐‐‐‐‐‐‐.
  • sgl
  • shcil
  • hcl
  • none of these
Q10 | ------------‐ is a market where unlisted securities are dealing.
  • grey market
  • kerb market
  • capital markets
  • none of these
Q11 | --------------- is a barometer for market behaviour.
  • investment
  • index
  • arbitrage
  • none of these
Q12 | -------------‐‐‐‐ is a number which measures the change in a set of values over a periodof time.
  • index
  • sample
  • weightage
  • none of these
Q13 | Securities of -------------‐‐‐ companies are traded in secondary market.
  • listed
  • relisted
  • unlisted
  • none of these
Q14 | Which of the following is considered as means off balance sheet financing?School of Distance EducationFinancial Markets Page 13
  • derivation
  • equities
  • debts
  • none of these
Q15 | An option exercised at the time of maturity it is termed as ----------‐‐‐‐‐‐‐‐‐.
  • american option
  • european option
  • call options
  • none of these
Q16 | An option exercised at any time, it is termed as ---------‐‐‐‐‐‐‐‐‐.
  • american option
  • european option
  • call options
  • none of these
Q17 | ---------‐‐‐ options are contract where exercise price is equal to spot price.(a) At the money (b) In the money (c) Out the money (d) None of these75) -----------‐‐‐‐ are called non‐cleared securities.
  • group b share
  • group a share
  • group g shares
  • none of these
Q18 | As -------------‐‐ includes government securities.
  • group b share
  • group a share
  • group g shares
  • none of these
Q19 | Members of OTCEI are ---------‐‐‐‐ only.
  • corporate
  • derivatives
  • speculators
  • none of these
Q20 | The first stock exchange in India was started in -------------‐‐‐‐‐‐.
  • 1875
  • 1885
  • 1895
  • 1865
Q21 | A depository is an institution which transfers the ownership of securities in ------------‐‐‐‐ mode.
  • electronic
  • artificial
  • analytical
  • none of these
Q22 | Depository participant is the link between the ‐‐‐‐‐‐‐‐‐‐‐ and the owner.
  • depository
  • government
  • corporate
  • none of these
Q23 | Financial ---------‐‐‐‐‐ are mainly used for hedging risk.
  • derivatives
  • speculators
  • investors
  • none of these
Q24 | A combination of forwards by 2 counter‐parties with opposite but matching need iscalled ------------------.
  • swap
  • forward
  • future
  • none of these
Q25 | Agreed price of --------------‐‐‐ contract is known as strike price.
  • future
  • option
  • swap
  • none of these