1. Which type of fund allows for greater concentration in specific stocks?

2. What is the primary risk associated with sector funds?

3. Which funds are less risky due to their exposure across multiple sectors?

4. What is a characteristic of thematic funds?

5. Which funds invest in stocks based on established companies with stable revenues?

6. What is the main feature of multi-cap funds?

7. Which investment strategy seeks to identify stocks at a price seen as cheap?

8. What risk do mid-cap and small-cap funds typically carry?

9. What do Fixed Maturity Plans (FMPs) offer?

10. What aspect should an investor consider before investing in FMPs?

11. Which type of fund offers exposure to international markets?

12. An investor looking for consistent income would likely choose which type of fund?

13. What type of fund allows investors to sell their units on the stock exchange?

14. Which funds generally require investors to have a long investment horizon?

15. How do investors benefit from diversification in mutual funds?

16. What investment approach do flexi-cap funds provide to fund managers?

17. Which funds are typically more suitable for risk-averse investors?

18. What is a key characteristic of value funds?

19. Which type of fund is known for having lower management fees?

20. What is an important consideration when investing in mid-cap and small-cap funds?

21. What do investors in international equity funds need to be aware of?

22. What distinguishes a focus fund from other types of funds?

23. In which market condition do growth funds tend to outperform?

24. What is a potential disadvantage of open-ended funds?

25. Why should investors consult financial advisers when selecting mutual fund schemes?

26. What are Target Maturity Funds (TMFs) gradually replacing?

27. What is a key feature of TMFs?

28. Short Duration Funds typically invest in securities with maturities of:

29. Which fund type is suitable for investors looking for low volatility and short-term investment?

30. What is the primary characteristic of Floater Funds?

31. What is the main advantage of Liquid Funds?

32. Which type of fund invests in both debt and equity?

33. Gold Sector Funds invest in:

34. What should an investor evaluate about a mutual fund scheme before investing?

35. Which of the following is NOT a characteristic of Short Duration Funds?

36. Investors looking for a short-term parking solution should consider:

37. What differentiates Gold ETFs from Gold Sector Funds?

38. What is the main risk associated with Floater Funds?

39. The performance of a fund should be compared against:

40. What does the term “portfolio turnover ratio” measure?

41. Which of the following is 1 about Hybrid Schemes?

42. What is a critical consideration when investing in a hybrid scheme?

43. Investing in a Conservative Hybrid Fund implies:

44. A key benefit of a long-established mutual fund is:

45. Investors should be cautious of hybrid schemes that are:

46. When evaluating the performance of mutual funds, which of the following is important?

47. Which of the following is NOT typically a characteristic of Liquid Funds?

48. What is the typical maturity period for securities held in Ultra-Short Term Debt Funds?

49. What does the credit quality of a fund’s portfolio indicate?

50. Investors should avoid schemes with:

51. The primary risk factor when investing in a hybrid scheme is:

52. What is a potential drawback of investing in Gold Sector Funds?

53. Which of the following statements is 1 about Target Maturity Funds (TMFs)?

54. Investors should evaluate the fund manager’s approach based on:

55. What are the three main options available for investors in mutual fund schemes?

56. What is the primary focus of Floaters Funds?

57. Which option is beneficial for investors seeking regular income?

58. What happens to re-purchase transactions in mutual fund schemes?

59. What is a key factor that determines whether a dividend can be declared in a mutual fund scheme?

60. Why might investors prefer a Systematic Withdrawal Plan (SWP) over a dividend payout option?

61. What is the tax implication of dividend income for investors?

62. Which option allows investors to let their money grow without annual taxation?

63. What should mutual fund distributors ensure while selecting schemes for investors?

64. What does the disclaimer “Past performance may or may not be sustained in future” imply?

65. What is one of the primary considerations for a mutual fund distributor when assessing a scheme?

66. Why is it important to consider taxes and loads when redeeming mutual fund units?

67. What does “keeping an eye on the taxes and loads” refer to?

68. How should a mutual fund distributor develop a scheme selection methodology?

69. What should investors assess regarding the dividend option?

70. In what scenario might an investor not receive a dividend despite selecting a monthly payout option?

71. What aspect of mutual fund schemes do the SEBI regulations cover?

72. What does a mutual fund distributor need to understand about an investor before selecting a scheme?

73. Why might investors choose the growth option over the dividend option?

74. Which type of investors might prefer the dividend payout option?

75. What is an SWP (Systematic Withdrawal Plan)?

76. What should investors do before selecting a mutual fund scheme?

77. What can be a downside of chasing past performance when selecting mutual fund schemes?

78. What might happen if an investor continuously switches between mutual fund schemes?

79. What is a common reason investors use a growth option?

80. In terms of mutual fund investments, what does liquidity refer to?

81. How does the choice between dividend and growth options impact tax for investors?

82. What is the benefit of the growth option for long-term investors?

83. Why is it important for mutual fund distributors to maintain a written scheme selection methodology?

84. Which of the following best describes the function of a mutual fund’s investment objective?

85. What role do taxes play in the selection of mutual fund schemes?

86. What is the primary interest that mutual funds should prioritize in their operations?

87. According to the regulations, trustees and asset management companies must ensure the dissemination of what type of information to unitholders?

88. What should trustees and asset management companies avoid regarding business concentration?

89. What must trustees and asset management companies prioritize in all matters?

90. What does “ring-fencing” refer to in the context of mutual fund schemes?

91. What must the asset management company ensure while taking investment decisions?

92. Which of the following practices is prohibited for trustees and asset management companies?

93. How should asset management companies conduct their business dealings?

94. What type of statements are asset management companies not allowed to make regarding their capabilities?

95. What must sponsors or employees disclose when providing investment advice about securities?

96. In the AMFI Code of Ethics, members must observe high standards of what in their business dealings?

97. What is required from members in terms of disclosure to unitholders?

98. What should members avoid in their selling practices?

99. What is the focus of the due diligence principle in asset management?

100. What must members ensure regarding the investment objectives and policies of mutual funds?