Hello Readers,
Securities Market and Financial Awareness MCQs for the upcoming SEBI Grade A and RBI Grade B examination. It will be also helpful your your banking examination such as IBPS, SBI PO, IRDAI, etc. For All MCQs Archive CLICK HERE
Don't Just Read The POST. DO SHARE this post with your friends on WhatsApp, Twitter, Facebook and Telegram. If it helps anybody our mission will be successful.
Securities Market and General Awareness for SEBI Grade A/ RBI Grade B
Q1. What is the name of an online platform designed to help investors to lodge their complaints by SEBI?
A. Jano To Mano
B. SCORES
C. SEBICOM
D. e-Complaints
Explanation: (B) SCORES Stands for in SEBI Complaints Redress System ( SCORES).
- SCORES is an online platform designed to help investors to lodge their complaints, pertaining to securities market, online with SEBI against listed companies and SEBI registered intermediaries. All complaints received by SEBI against listed companies and SEBI registered intermediaries are dealt through SCORES.
- An investor may lodge a complaint on SCORES within three years from the date of cause of complaint, where;
The complainant does not receive any communication from the listed company or intermediary concerned or,
The complainant is not satisfied with the reply given to him or redressal
action taken by the listed company or an intermediary.
In case investor fails to lodge a complaint within the stipulated time, he
may directly take up the complaint with the entity concerned or may
approach appropriate court of law.
Q2. Upto what extent a company can buyback its shares without shareholders' resolution?
A. 15%
B. 10%
C. 50%
D. 25%
Explanation: (B) Upto 10%
A company may buyback its shares without shareholders’ resolution, to the extent of 10% of its paid up equity capital and reserves, based on both standalone and consolidated financial statements of the company. However, if a company intends to buyback its shares to the extent of more than 10% of its paid up capital and free reserves then the same has to be approved by shareholders by way of special resolution in term of the provisions of Companies Act, 2013.
Q3. The term company is defined under which sec of the Companies Act 2013?
A. Section 2 (5)
B. Section 2 (20)
C. Section 3 (1)
D. Section 1 (3)
Explanation: (B) Section 2(20) of the 2013 Act defines the term “company” to mean “a company incorporated under the Companies Act 2013 or any previous company law.” Accordingly, a company, which is incorporated under the relevant legislation of a foreign country, will not qualify as a “company” under the 2013 Act
- The provision to section 2(71) states that “a company which is a subsidiary of a company, not being a private company, shall be deemed to be public company for the purposes of this Act.”
Q4. The company’s nationality is decided by its
A. Registered office
B. Shareholders
C. Place at books of accounts are kept
D. Founder
Explanation: (A) A company's nationality is decided by its registered office.
- A company shall, on and from the fifteenth day of its incorporation and at all times thereafter, have a registered office capable of receiving and acknowledging all communications and notices as may be addressed to it.
(2) The company shall furnish to the Registrar verification of its registered office within a period of thirty days of its incorporation in such manner as may be prescribed.
Q5. What is the cut-off time for buying and selling Mutual Funds units in India?
A. 1 PM
B. 2 PM
C. 3 PM
D. 6 PM
Explanation: (C) Recently SEBI restores the cut-off time for buying and selling Mutual Funds units to 3 PM.
- Cut-off timings aren’t meant to restrict the purchase and sale of mutual fund units. The Securities and Exchange Board of India (SEBI) has prescribed cut off timings to determine which day’s net asset value will be applicable to your trade.
- If an order is placed before 1 pm, it will take into account the same day's NAV. If placed after 1 pm, the next day's NAV will be applicable. To get the same day's NAV for redemption, the cut-off timing for all mutual funds was advanced from 3 pm to 1 pm.
- Importance Cut-Off Timings
Investors trading in large volumes of money depend on even marginal per unit gains. For long-term investors, cut-off timings do not play a very crucial role. Even in the case of individuals investing a small sum of money, cut-off timings do not largely influence the profitability of the investment.
The precision in setting cut-off timing makes sense only if there is a foolproof mechanism of capturing the time at which the sale and re-purchase applications are received. This is ensured through the time-stamping mechanism. Thus, understanding cut-off timings makes it easier for investors to make informed decisions.
Don't Just Read The POST. DO SHARE this post with your friends on WhatsApp, Twitter, Facebook and Telegram.
No comments:
Post a Comment
If you have any doubts, please let us know.