Question 1
Which of the following best describes the core difference between investment and speculation?
Correct Answer:
Investment is based on thorough analysis, safety of principal, and a reasonable return, while speculation is based on market rumors and price movements.
Question 2
An investor estimates that a risk-free bond yields 7% per annum. The equity market risk premium is 6%, and a growth stock has a beta of 1.4. What is the required rate of return for the growth stock using the Capital Asset Pricing Model (CAPM)?
Correct Answer:
15.4%
Question 3
Which of the following is considered a 'systematic risk' that cannot be diversified away in a portfolio of Indian equities?
Correct Answer:
A surprise interest rate hike by the Reserve Bank of India (RBI).
Question 4
Which of the following alternative asset classes is most likely to exhibit a negative correlation with traditional equity markets during a severe macroeconomic downturn?
Correct Answer:
Physical Gold and Precious Metals.
Question 5
What is the primary risk associated with direct investments in infrastructure assets relative to listed equities?
Correct Answer:
Illiquidity risk due to long gestation periods and lack of an active secondary trading market.
Question 1
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Prepare with the NISM Series XIX-D Practice Questions - NISM Series XIX-D Category I and II Alternative Investment Fund Managers Certification Examination Exam practice quiz. This question bank includes 100 questions covering fund, category, investor, capital, and sebi. Use it to review important concepts, identify knowledge gaps, and build confidence for the related exam, course, or assessment.

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NISM Series XIX-D Practice Questions - NISM Series XIX-D Category I and II Alternative Investment Fund Managers Certification Examination Exam

This practice set contains 100 questions from the matching question bank and focuses on fund, category, investor, capital, and sebi. Work through each question carefully, review the provided solutions, and revisit topics that need more study before your next attempt.

This is an independent study resource intended for practice and review; it is not an official examination or an endorsement by any organization named in the title.

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