On This Page

This set of Financial Markets and Institutions Multiple Choice Questions & Answers (MCQs) focuses on Financial Markets And Institutions Set 8

Q1 | Bill Market Scheme in India was introduced in the year
  • 1972
  • 1952
  • 1969
  • 1982
Q2 | Adhoc T-bills are always issued in favour of--------
  • State government
  • Commercial banks
  • Treasuries
  • RBI
Q3 | The certificate which evidences an unsecured corporate debt of short-term maturity
  • Certificate of Deposit
  • Commercial paper
  • Secured Premium Notes
  • Interbank participation Certificate
Q4 | Major players of Indian money market is
  • Central bank
  • Co-operative banks
  • Commercial banks
  • Indigenous banks
Q5 | -------- is the suitable method where small companies issue shares
  • Offer for sale
  • Private placement
  • Issue by prospectus
  • All the above
Q6 | Zero interest bonds are always issued
  • At premium
  • At discount
  • With detachable warrant
  • Any of the above
Q7 | -------- is a guarantee for marketability of shares
  • Listing
  • Underwriting
  • Registration
  • Issue by prospectus
Q8 | Which one of the following is /are not function of NIM
  • Origination
  • Underwriting
  • Distribution
  • Listing
Q9 | BOLT was introduced by BSE in the year
  • 1990
  • 1995
  • 1992
  • 1999
Q10 | -------- is a permission to quote securities officially on the trading floor of stock exchange
  • Origination
  • Underwriting
  • Distribution
  • Listing
Q11 | The number of shares which are less than market lots are called
  • Grey lot
  • Odd lot
  • Tag lot
  • Tied lot
Q12 | Rolling Settlement system was introduced by SEBI in the year
  • 1994
  • 1998
  • 1996
  • 1999
Q13 | The facility to carry forward a transaction from one settlement period to another is called --------- transaction
  • Hand delivery
  • Badla
  • Cornering
  • Arbitrage
Q14 | The device adopted to make profit out of price differences in two different markets
  • Cornering
  • Wash sales
  • Rigging
  • Arbitrage
Q15 | A person appointed by a stock broker to assist to him in the business of securities trading attrading floor of stock exchanges is
  • Sub-broker
  • Commission broker
  • Authorised clerk
  • Remisiers
Q16 | ------------- is also known as Remisiers and Half-commission man
  • Sub-broker
  • Commission broker
  • Authorised clerk
  • Jobbers
Q17 | An order for the purchase of securities at a fixed price is known as
  • Limit order
  • Open order
  • Discretionary order
  • Stop loss order
Q18 | Speculator who neither buy nor sell securities in the market, but still trade on them are called
  • Wolves
  • Stag
  • Bull
  • Bear
Q19 | The process of holding the entire supply of a particular security with a view to dictating termsis called
  • Cornering
  • Wash sales
  • Rigging
  • Arbitrage
Q20 | ------------ market deals in unlisted securities
  • Blue chip market
  • Bear market
  • Grey market
  • Bull market
Q21 | When purchases of securities are more than sales of securities, the market is called
  • Bullish
  • Bearish
  • Grey
  • Odd
Q22 | When sales of securities are more than purchases of securities, the market is called
  • Bullish
  • Bearish
  • Grey
  • Odd
Q23 | --------- is the charges paid by a bull speculator to the other party for obtaining carry overfacility
  • Backwardation
  • Contango
  • Spread
  • Margin
Q24 | Every financial market has the following characteristic:
  • It determines the level of interest rates.
  • It allows common stock to be traded.
  • It allows loans to be made.
  • It channels funds from lenders-savers to borrowersspenders.
Q25 | Financial markets have the basic function of
  • bringing together people with funds to lend and people who want to borrow funds.
  • assuring that the swings in the business cycle are less pronounced. assuring that governments need never resort to printing money.
  • both (A) and (B) of the above.
  • both (B) and (C) of the above.