1. What must be considered for calculating investor returns?

2. How are holding period returns calculated for periods over one year?

3. What is a rolling return?

4. What factors should be evaluated in addition to return performance?

5. What is a major risk in equity funds?

6. Which type of funds are often used for generating regular income?

7. What may cause fluctuations in a debt fund’s NAV?

8. What does “gating provisions” refer to?

9. What risk is associated with arbitrage funds?

10. What is the significance of SEBI regulations for mutual funds?

11. What should investors consider when selecting mutual funds?

12. Which of the following is a characteristic of small-cap funds?

13. Which mutual fund strategy is often misperceived as risk-free?

14. What does the term “investor return” refer to?

15. Why might holding period returns be misleading?

16. What is one reason gold funds are considered attractive investments?

17. When do gold funds typically perform well?

18. Which of the following types of gold funds carries a risk associated with falling gold prices?

19. What is a significant risk associated with real estate funds?

20. What is the main disadvantage of real estate as an asset class?

21. What is used as a measure of risk in investments?

22. What does variance measure in the context of investment returns?

23. Which Excel function is used to calculate variance?

24. Standard deviation is relevant for which types of investment schemes?

25. What does a high standard deviation indicate?

26. What is Beta a measure of?

27. If an investment has a beta of 1.5, how does it respond to market movements?

28. What does modified duration measure?

29. Which term indicates the time-weighted average of maturity in a debt fund?

30. A higher credit rating generally indicates:

31. What can lead to a credit event in debt markets?

32. What happens to a scheme’s exposure to a downgraded debt security if many investors redeem their investments?

33. According to SEBI, what is one condition for imposing restrictions on redemptions in mutual funds?

34. What is the maximum duration for which restrictions on redemptions can be imposed, according to SEBI?

35. What must AMCs do with redemption requests up to Rs. 2 lakhs during restriction periods?

36. What is the consequence of a single issuer’s securities being downgraded in a mutual fund?

37. What is a risk associated with family-owned real estate groups?

38. What does a diversified stock index have by definition?

39. Which of the following best describes a high-risk scheme?

40. What role do transaction costs play in real estate investments?

41. Which measure is a better indication of interest rate sensitivity in a debt portfolio?

42. In a gold fund, what risk is posed if the value of gold falls?

43. What is the primary focus of credit rating in investments?

44. What should AMCs do in the event of a market-wide liquidity crisis?

45. What is the minimum number of observations required to accurately compute standard deviation?

46. What is a segregated portfolio?

47. When was the creation of segregated portfolios permitted by SEBI?

48. What is considered a credit event for creating a segregated portfolio?

49. What must an Asset Management Company (AMC) do upon receiving information about an actual default?

50. Under which circumstances can a segregated portfolio be created for unrated debt?

51. What must happen immediately after the trustees approve a segregated portfolio?

52. When was the SEBI circular that allowed the creation of segregated portfolios for unrated instruments issued?

53. What must new schemes launched after November 7, 2019, include regarding segregated portfolios?

54. What happens to the Net Asset Value (NAV) of the segregated portfolio after a credit event?

55. What is the role of trustees in the creation of a segregated portfolio?

56. Can investors redeem units from the segregated portfolio?

57. What must AMCs do to facilitate exit for unitholders in the segregated portfolio?

58. What is the Total Expense Ratio (TER) on a segregated portfolio?

59. How is the legal charge related to the recovery of investments handled in the segregated portfolio?

60. What happens if trustees do not approve the segregated portfolio proposal?

61. What are the risks associated with holding units of a segregated portfolio?

62. What is a major concern about the liquidity of units in a segregated portfolio?

63. How are units in the segregated portfolio allotted to existing investors?

64. What does NAV stand for?

65. What is the consequence of a security being marked down?

66. How often must the NAV of the segregated portfolio be declared?

67. What kind of securities can comprise a segregated portfolio?

68. What is required of AMCs regarding policies on segregated portfolios?

69. What should be included in all scheme-related documents regarding the segregated portfolio?

70. What happens to the NAV of both the segregated and main portfolio after a credit event?

71. What type of investment strategy is associated with a longer holding period?

72. What is a primary reason to match the holding period with the portfolio maturity of the fund in debt investments?

73. Which of the following risks is associated with a segregated portfolio?

74. What is the maximum amount of legal charges that can be charged to the segregated portfolio?

75. What can investors expect if they hold a segregated portfolio for a long time?

76. What is the primary purpose of a benchmark in mutual fund schemes?

77. A credible benchmark should align with which of the following?

78. Who typically constructs most benchmarks?

79. How is the benchmark for an index fund typically determined?

80. Who decides the benchmark for non-index mutual fund schemes?

81. When may a mutual fund change its benchmark?

82. What significant change was implemented regarding benchmarks on February 1, 2018?

83. What does the Total Return Index (TRI) account for?

84. Why was the shift to TRI considered necessary?

85. How do dividends affect the gap between PRI and TRI?

86. What does SEBI mandate regarding the selection of a benchmark?

87. What performance benchmark should mutual funds use according to SEBI?

88. What is required if TRI is not available for a particular period?

89. What types of funds need to have diversified index benchmarks?

90. What type of index is appropriate for funds investing in large companies?

91. Which benchmarks are suitable for mid-cap funds?

92. What kind of benchmarks do schemes with fewer stocks in their portfolio prefer?

93. Which of the following must be disclosed in the Scheme Information Document?

94. What is the primary concern if a fund does not change its benchmark despite changing investment objectives?

95. How often should benchmarks be recalculated?

96. What is the purpose of documenting changes to a benchmark?

97. What kind of performance is reflected in the TRI?

98. What must mutual funds disclose alongside their performance?

99. What influences the choice of benchmark for equity schemes?

100. What should an AMC do if they wish to change the benchmark?