Unit ko samjho · NISM Series XXI-B
Mutual Fund
6 questions is unit mein
Sawaal aur jawaab English mein hain, kyunki NISM ka exam paper bhi English mein hota hai.
Is unit mein kya hai
- Which feature normally distinguishes an open-ended mutual fund from a closed-ended fund?
- What does a systematic investment plan primarily organise for an investor?
- A scheme has assets of ₹10.6 crore, liabilities of ₹0.6 crore and 50 lakh units. What is net asset value per unit?
- Two otherwise identical portfolios earn the same gross return. What does a higher expense ratio do to investor returns?
- Which comparison is most meaningful when reviewing an equity scheme’s factsheet?
- Two ₹6,000 instalments buy units at ₹40 and ₹60. Ignoring charges, what is the average acquisition cost per unit?
Zaroori ideas
Practice bank se · 1
Which feature normally distinguishes an open-ended mutual fund from a closed-ended fund?
An open-ended fund normally offers ongoing subscription and redemption under its scheme terms. This describes access to units, not a guarantee of their value. Remember: Open-ended describes the dealing structure rather than investment safety.
Hint Think about how investors enter and leave the scheme. Common mistake: Confusing ease of redemption with protection against investment losses.
XXI-B-027Practice bank se · 2
What does a systematic investment plan primarily organise for an investor?
A systematic investment plan organises contributions at planned intervals. It does not ensure profit or eliminate the risk of the underlying assets. Remember: Regular investing is a process, not a return promise.
Hint Separate the payment schedule from the investment outcome. Common mistake: Assuming a regular investment schedule prevents losses.
XXI-B-028Practice bank se · 3
A scheme has assets of ₹10.6 crore, liabilities of ₹0.6 crore and 50 lakh units. What is net asset value per unit?
Net asset value is ₹20 per unit because net assets are ₹10 crore. Net assets = ₹10.6 crore − ₹0.6 crore = ₹10 crore. NAV = ₹10,00,00,000 ÷ 50,00,000 units = ₹20. Remember: NAV per unit is net assets divided by outstanding units.
Hint Only the net amount belongs to unit holders. Common mistake: Using gross assets or mixing crore and lakh units.
XXI-B-029Practice bank se · 4
Two otherwise identical portfolios earn the same gross return. What does a higher expense ratio do to investor returns?
A higher expense ratio reduces the return after expenses when gross performance is the same. Costs should therefore be considered alongside the investment strategy. Remember: Compare like-for-like returns after the relevant costs.
Hint Consider which portion of the portfolio’s earnings investors keep. Common mistake: Treating fees as unrelated to the return received by investors.
XXI-B-030Practice bank se · 5
Which comparison is most meaningful when reviewing an equity scheme’s factsheet?
A suitable equity total-return benchmark gives a more relevant comparison for an equity scheme. The period and treatment of costs must also be clear. Remember: A useful performance comparison needs a relevant and consistently measured benchmark.
Hint Match the asset class, time period and treatment of costs and distributions. Common mistake: Selecting a comparison merely because it makes the scheme look stronger.
XXI-B-031Practice bank se · 6
Two ₹6,000 instalments buy units at ₹40 and ₹60. Ignoring charges, what is the average acquisition cost per unit?
The average cost is ₹48 per unit because ₹12,000 purchases 250 units. First purchase = ₹6,000 ÷ ₹40 = 150 units. Second purchase = ₹6,000 ÷ ₹60 = 100 units. Average cost = ₹12,000 ÷ 250 = ₹48. Remember: For equal cash instalments, average cost uses total money divided by total units.
Hint Add the units bought by each instalment before averaging the cost. Common mistake: Averaging the two prices rather than the costs of the units actually bought.
XXI-B-032