Series OSS Code No. 233
INTRODUCTION TO FINANCIAL MARKETS - II
Time allowed : 3 hours Maximum Marks: 60
General Instructions :
(i) Answer 1 mark questions in about 20 words.
(ii) Answer 2 mark questions in about 20 - 30 words.
(iii) Answer 3 mark questions in about 30- 40 words.
(iv) Answer 4. mark questions in about 70 - 80 words.
(v) 5 mark questions in about 100 words.
1. What is bad delivery ? 1
2. Who is a sub-broker ? 1
3. What is a put option ? 1
4. What is meant by hedging ? 1
5. What does FTP stand for ? 1
6. What is the need to have an investor protection fund ? 2
7. What are the powers conferred on SEBI ? State any four. 2
8. What are the benefits of trading in Derivatives ?
9. Write a short note on Index Funds.
10. What is circuit breaker ? Why is it applied ?
11. What does the term ETFs stand for ? What are the advantages of trading in ETFs ?
12. What is basket trading ?
13. Write down sub-broker's duties towards the regulatory authorities.
14. What are the advantages of stalling a NEAT-F & 0 trading system in NSE ? State clearly.
15. What is initial margin ? Why is it collected ?
16. Write a short note on Indian Companies Act.
17. Explain the client-broker relationship in derivative segment.
18. Write a short note on risk management system for F & 0 segment.
19. On 16th December Mr. Venkat Rao bought a December Nifty Futures Contract which costed him Rs. 2,50,000. Each Nifty Future is of 50 units. On 31St December the Index closed at 4,950. How much profit/loss did Rao make ? 4
20. What are the requirements to become an F & 0 member ? 4
21. Write a short note on the following 4
(a) Trading member trading ID
(b) Temporary sign off
22. List agencies involved in clearing and settlement. Explain any two of them. 5
23. From the following details, calculate the net profit ratio 5
Cost of goods sold Rs. 60,00,000
Operating expenses Rs. 4,00,000
Sales Rs. 82,00,000
Sales return Rs. 2,00,000