NCFM DP MODULE 1) In Joint Account if 1st holder died, the securities lying in the Demat

account will be transferred to the surviving holder.a) DP transfers the security after receiving the required

documents from surviving holder.b) Issuer/R & T agent transfers the security after receiving the

required documents from surviving holder.c) Automatically transfers by NSDL.d) Automatically transfers by DP.

2) Change of address received from Corporate Client, DP do not require a) Minimum any one authorised person have to visit in person to DP b) Proof of new address, with Originals of new address for verify c) Written application signed by all the authorized persons d) Transaction statements of two quarter of Corporate Account. 3) Once the Beneficiary Owner account opened, can the client change

address.. a) Yes, prior approval of NSDL.

b) No, once opened an account can’t be changed the address.c) Yes, by producing written application, proof of new address,

transaction statement.e) Prior approval of Reserve Bank of India.

4) Effecting an inter-depository transfer, the client have to give the

respective instruction a) To DP with whom they have opened their respective account.b) Directly to NSDL, as it involve transfer settlement from one

depository to another.c) Directly to SEBI as inter-depository transfer related to SEBI

approval.d) Directly Issuer / R & T Agent as it involves change of register owners.

5) Custody charge charged by NSDL to issuers for upto Rs 5 Crore a) 30,000 b) 20,000 c) 10,000 d) 4,000 6) Investor holding shares in demat form, dividend will be declared by a) Depository Participant b) SEBI c) Issuer Company d) NSDL 7) Which of the following city do not have a Stock Exchange

a) Cuttackb) Guwahatic) Calcuttad) Delhi

8) DP forwards DRF-GS to NSDL within how many days a) 21 b) 15 c) 3

d) 7

9) Who is permitted to open a SGL 2 account a) DP registered with NSDL b) RBI c) Any one have SGL 1 account d) None of the above 10) NSDL charges to Intermediary for recall of securities by Lenders/borrower a) 25 b) No fees levied c) 6 d) None of the above 11) The reason for rejection of dematerialization is correct..

a) Electronic statement received, but physical security not received within 15 days.

b) Originals sent, but duplicate certificates already issued.c) Name differs in certificates and demat request form.a) b and cb) a onlyc) a and cd) a and b

12) Incase of invocation of pledge NSDL charges to participant a) No charges b) 25 c) 0.02% in case pledge amt. 10,000 d) 0.02% 13) Investor can pledge NSC/KVP, as per the rules of a) DOP b) NSDL c) SP d) No such facility for NSC/KVP 14) What is the annual fees charged for IDeAS a) 35,000 b) 10,000 c) 25,000 d) No charges 15) Can locked-in Securities be pledged a) Yes, after release from locked b) No, never c) Yes always

d) Yes, prior approval of RBI

16) Mr. Amit is a NRI having demat account, wants to sell securities to Resident India

a) Company would have sought general permission from RBI b) Permission from NSDL along with RBI c) Permission from SEBI along with RBI

d) Needs permission from RBI because, Selling to resident Indian

17) If a DP takes an equity stake in depository then according to extent regulation DP can not , at any time, hold more than ________% a) 5

b) 25c) 10d) 15

18) For an Intermediary the final approval required from a) RBI

b) Ministry of Financec) Department of Companies Affairs

d) SEBI 19) Which of the following details are not mandatory in the DRF-GS,

filled by the investor while submitting the securities for dematerialisation ?a) Name of the Securityb) Account Numberc) ISINd) Certificate Number

20) Which of the following is not true in case of demat joint account a) After the death of 1st holder security transmitted to surviving holder b) Minor can be a Joint Holder c) Joint Holders can nominate d) Dividend warrants issued by Company shall issued in name of 1st

holder only.

21) Fungible means a) Different securities of same company can interchangeable b) Freely transferable c) Same securities of a company interchangeable d) Similar securities of different company interchangeable 22) Can securities of more than one company dematerialize through single

DRF a) Yes, provided the holding pattern is same b) Yes, at the discretion of Depository Participant c) No, It can not d) Yes, at the discretion of issuer/R & T Agent 23) Eligibility criteria for an entity to be a Depository Participant a) Companies Act 1956 b) SEBI (Depository Participant Regulation) 1996 and by laws of NSDL c) Business Rule of NSDL d) Depositories Act 1996 24) For conversion of partly-paid shares to fully paid , NSDL charges

____ per record towards corporate action to Issuer a) Rs. 8 b) Rs. 4 c) Rs. 6 d) No charges 25) The Nifty comprises of ________

(a) 30 scrips(b) 25 scrips(c) 50 scrips(d) 35 scrips

26) Incase of DRF-GS, DP need not ensure for a) Account Number b) Name of Security c) ISIN d) Certificate number 27) Maximum number of Beneficial Owner (excluding CM) accounts can

be opened by a low end server a) 75000b) 7500c) 750d) 75

28) Empowered to inspect the operation of a DP a) NSDL only b) SEBI and NSDL c) RBI only d) SEBI only 29) Will dematerialization be rejected, if part of certificates in a single

DRF pertains to locked-in statusa) Yes, at discretion of Issuer/R& T Agentb) Yes, locked status can dematerializec) Yes, if the lock-in request is “share issued to employee under the

stock opinion scheme.d) Yes, always

30) Following can be partially dematerialised a) NSC/KVP b) Government Security c) Any security provided and permitted by issuer d) No, No security can be partially dematerialised 31) Depository maintains minimum net worth of rupees a) 50 Crore b) 75 Crore c) 100 Crore d) 500 Crore 32) The DPM in DP end, and the DM at NSDL __________ a) Connecting on real time basis b) Through Stock Exchange c) Through SEBI hub d) Not connected at all 33) Net worth required by a Depository as per SEBI a) 50 Lacs b) No limit c) 500 Crore d) 100 Crore 34) Sub-broker can open a CM account with DP a) Yes, SEBI registered sub-broker b) SEBI registered, personal gurantee affiliated c) No, a sub-broker can not open CM account d) Yes, all sub-broker can, they may have registered with SEBI or not. 35) NSC / KVP having security in demat form can change the address

a) In same Post Office where he has account b) SP c) NSDL d) Any designated PO by DoP 36) Account holder can sign in an account opening form,

a) in English or any language contained in the VIII form, other than that must be attested by a Magistrate or Notary Public or a Special Executive Magistrate

b) Only in English c) in any language at his wishd) English or Marathi

37) Charge for Rematerialisation a) Rs. 10 per certificate b) Rs. 25 per certificate c) No charges levied d) None of the above 38) As per SEBI's Securities Lending and Borrowing Scheme, the

networth requirement for Lender/Borrower is _________ [ 2 Marks ](a) 50 crore.(b) 10 crore(c) No such requirement(d) 100 crore

39) Mr. Shah sells 500 shares of ABC Ltd. to Mr. Mehta in a "off market

intra DP transfer" at Rs. 118 per share. The closing price of ABC Ltd. at the following segments at stock exchanges on the execution date of this transaction are: AE segment of NSE: 120 Demat segment of BSE: 125 BE segment of NSE: 115 Assume that ABC Ltd. falls under the SEBI list for compulsory settlement in demat form by all categories of investors. Assuming that DP charges 0.04% off market transaction charges on purchase and levies no charges on the sale side, calculate the off market transaction charges charged by NSDL to DP? [ 2 Marks ]a) Rs. 6b) Rs. 24 c) Rs. 8d) Rs. 25

40) In a Security Certificate X is the 1st holder and Y is the 2nd holder

a) An account having Y is the first holder and X is the second holder, can be dematerialized.

b) X is the first holder Y is the second holder, can be dematerialised c) Z is the first holder, X is the second and Y is the 3rd, can be demated d) None of the above 41) Resolution by arbitration for disputes between NSDL and its business

partners : a) applicable for disputes between NSDL and broker DPs only. b) Not applicable in the NSDL environment. c) Has been prescribed in the NSDL bye-laws. d) applicable for disputes between NSDL and bank DPs only

42) The number of characters of the 1st holder’s name can reach upto : a) Any number of characters. b) 135 characters. c) 75 characters. d) 45 characters. 43) For dematerialisation of _____________ a DP has to enter into a

separate agreement with the clienta) NSC/KVPb) Warehouse Receiptsc) US 64 unitsd) None of the above, a DP does not need to enter into separate

agreement. 44) In case of accept/reject of repayment by the intermediary, the

lender has to tick the following option on the SLB forma) Confirmation of lendingb) Initiate recall from intermediaryc) Initiate repay from intermediaryd) Confirm recall/repay

45) Who has to open a redemption account with DP a) Intermediary b) Issuer c) Investor d) NSDL 46) Which of the following details are not mandatory in the DRF-GS,

filled by the investor while submitting the securities for dematerialisation ?a) Name of the Securityb) Account Numberc) ISINd) Certificate Number

47) Can US 64 units issued by different branches of UTI be submitted for

dematerialisation with a single DRF ?a) Yes at the discretion of SEBIb) NOc) Yes at the discretion of UTId) Yes

48) Which of the following provides inter connectivity amongst various

depositories in the scenerio of multiple depositoriesa) Securities Contract Regulation ACTb) S E B I ( Depositories & Participants ) Regulations 1996c) Operating Manual for Depositoryd) NSDL Bye-laws

49) What is the upper annual ceiling of custody charges payable by a DP

to NSDL who holds assets of average market value of between Rs 200 cr to Rs 400 cra) There is no such annual ceiling . NSDL charges Rs 4/- per

annnum per ISIN (for unlisted securtites which have not paid one timecustody fees) per client account as custody chanrges

b) 0.50 lacsc) 2 lacsd) 1 lacs

50) Entry level IT set up keys in the keyboard

a) 95b) 100c) 104d) 120

51) If the quantity of shares mentioned in the DRF is more than the

actual certificates received, the Issuer / its R & T Agent willa) accept / part reject completely at their optionb) accept / reject as decided by NSDL as a case to case basisc) reject the demat request completelyd) accept part of the request for which certificate are sent and reject the

balance 52) In case of public offer wherein the applicant has applied for shares in

demat form, the allotment advise / return, the allotment advise / refund warrant will be forwarded to the applicant bya) NSDLb) DPc) Issuer / Registrar of the Issuing company d) SEBI

53) After the repeal of the Capital Issues (Control ) Act 1947 , Indian companies were allowed to access the international capital market througha) Private placement of securities b) issue of 20 year convertible bondsc) Futures & Optionsd) issue of ADRs & GDRs.

54) Whose statement of account reflects the credit of the shares

a) The lenders statement but a lien is marked in favour of the borrowerb) A special a/c "Securities Lending Suspense a/c" maintained by NSDL

is credirted witht he securities lentc) A special Securities & Lending suspense account maintained by DP is

credited with the securities lentd) The borrowers statement reflects the final credit of securities

lent 55) Which of the following statement regarding nominations is false

a) Minor can not nominate , but can be a nomineeb) NRI can nominate , POA holder can notc) In case of multiple nominations on death of the a/c holder

securities will be proportionately divided between the nominees

d) Only one nominee can be appointed per account 56) All the activities relating to the issue management , settlement of

trade , distribution of G Sec are handled by a) Lead Merchant Bankb) RBI alongwith PDOc) RBI alongwith DoPd) SEBI

57) What is the custody fees charged to a DP for demat account holding .

Liquid Bench mark Exchange Traded Scheme and ware house receiptsa) Rs 1 per yearb) Rs 1 per quarte

c) No fees chargedd) 4 per quarter

58) Confirmation by pledgor / hypothecator for invocation of pledge /

hypothecation is required in case ofa) pledge b) hypothecationc) both pledge and hypothecationd) pledge or hypothecation as decided by NSDL on case to case basis

59) An approved Intermeiary can open its account with

a) Institutional DP only ,b) SBI only c) Directly with NSDL onlyd) Any DP of its choice

60) What is the account opening charges levied by NSDL to DP

a) Rs 50 per account opened with DPb) Rs 50 per account for individuals and Rs 500 for corporatesc) No Chargesd) Rs 500 per account

61) Is transfer of securities between Pool accounts of different clearing

members alloweda) Yes alwaysb) Yes with permission of Exchangec) Yes provided the accounts are with the same DPd) No

62) The physical share certificates are held in the name of Mr A & Mr B .

Mr A is the first holder and Mr B is the second holder. In which of the following accounts these shares can be dematerialiseda) A First Holder B Second Holderb) B First Holder A First Holderc) A d) B

Ans a) Both A & Bb) Only Ac) only Bd) All A, B , C , D

63) How many post offices are providing demat services for NSC/KVP in Mumbai ?a) 50b) 45c) 35 d) All post offices.

64) Maximum number of transactions a DP can conduct per day with a low end

server?a) 20000b) 200c) 200000d) 2000

65) A trade that is cleared and settled without the participation of a stock

Exchang / Clearing Corporation ?

a) Rolling settlementb) Inter depositoryc) Off market d) Market trade

66) Minimum net worth prescribed for R & T agent as a DP ?

a) 50 lacsb) 50 croresc) 100 lacsd) 10 crores

67) Monetary assets of short term values (less than one year) are traded on ?

a) Debt Marketb) Money marketc) Stock marketd) Stock exchanges

68) For a company accessing the capital market for the first time required ?

a) Approval from companies act 1956.b) Approval from SEBIc) Approval from NSDLd) Approval from Stock Exchange.

69) Which of the following documents, client has to submit for taking the

delivery from Warehouse ?a) PDRF b) Ware house receiptc) RRFd) DRF

70) Who are the parties to the agreement in stock lending borrowing scheme ?

a) Borrower & Lender directlyb) Borrower, Lender separately with Approved intermediary.c) Borrower, Lender with NSDLd) Borrower, Lender, Approved intermediary with NSDL.

71) Amendment to NSDL Business rules, required approval of ?

a) Board of Directors & Approval committee b) SEBI c) SEBI & NSDL Approval committeed) Its Board of directors only.

72) Rolling settlement cycle, Auction trades for short falls

a) T+2 b) Next day of settlement.c) Same day of settlementd) After 48 hours of settlement

73) The software with the depository participant is known as

a) DMb) DPM c) DP(CC)d) DP(SHR)

NCFM DP MODULE – ADDITIONAL QUESTIONS & ANSWERS

1. The agreement for opening an account is signed between

a. NSDL and clientb. NSDL, DP &clientc. DP & the clientd. all the above

2. NSDL charges for dematerialisation to the DP are

a 0.5%b. 0.1%c. No chargesd. 0.01%

3. NSDL charges transaction fees to the participant of the borrower

a. 0.01%b. 0.02% for period upto 3 months, and if the period extends

beyond 3 months, then additional of 0.02%.

c. Rs 25/- per transactiond. 0.04%

4. For a new company issuing shares, it is guided by

a. SEBI regulationsb. guidelines issued by Dept.of company affairsc. No guidelinesd. RBI guidelines

5. For physical shares sent for transmission-cum-demat, the client

has to submita. Notarised death certificate and the certificates to the DPb. facility is not available currentlyc. Transmission form and notarised death certificate to the

issuer along with the certificates.d. Transmission form and Letter of no objection along with physical

share certificates to the Registrar. 6. For transferring the shares from one account to another , the

client has to submit a. Delivery instruction for off market tradesb. No instruction is requiredc. Delivery instruction Slip (same for both off market &

market trades)

d. Delivery out instruction 7. Novation was first introduced by

a. BOISLb. NSCCLc. OTCEId. CSE

8. NSE trading terminal is known as

a. BOLTb. NEST terminalc. NEAT terminald. VSAT

9. The net worth to be maintained by a depository at all times isa. Rs.50 croresb. Rs.100 crores

c. Rs.25 croresd. Rs. 10 crores

10. Can odd lot shares be dematerialiseda. Neverb. Yes, with the permission of the issuerc. Alwaysd. At the companies discretion

11. In case of recall of shares from the borrower, the intermediary has

to submit which of the following form.a. Confirmation of lendingb. Initiate Recall from borrowerc. Lender forwards recall request to his DPd. Initiate repay to lender

12. In case of broker as a partnership firm, the account has to be

openeda. in the name of any of the partnersb. in the name of all the partnersc. in the name of the partnership firmd. in the name as registered with the stock exchange

13. In case of a pledge/hypothecation, both the parties should have an

accounta. with the same DPb. with any DP of their choicec. Both accounts should be with Pledgor DPd. None of the above

14. NSE is

a. registered as association of personsb. a company registered under the Companies Actc. registered as a trust with tax exemptiond. a company registered as stock exchange

15. The software with the depository participant is known as

a. DMb. DPM c. DP(CC)d. DP(SHR)

16. Shares transferred in the depository are free from stamp duty,

which translates into a saving of a. 0.5% b. 0.05% c. 1%d. 0.75%

17. Mr.A.Mehta & Mrs. A.Mehta , joint holders of 200 US 64 units, 100

on joint basis & 100 on either or survivor basis want to dematerialise all the 200 units.a. They can dematerialise all the 200 units through the a/c in the name

of Mr.A.Mehta as the first holder & Mrs. A.Mehta as second holder with a undertaking that the facility of either or survivor will be applicable only to 100 units.

b. They will need to open two different accounts in the name of Mr.A.Mehta as the first holder and Mrs.A.Mehta as second holder, one on joint basis and one on either or survivor basis

c. Any one of above, at their optiond. Not applicable. US64 units do not have the facility of either or

survivor basis 18. The Indian Depositories Act, 1996

a. Does not mandate a single depositoryb. Mandates a single depositoryc. Mandates maximum of two depositoriesd. None of the above

19. The securities which are eligible for demat?a. All securitiesb. Listed securitiesc. Securities for which the ISIN has been activated in the

depositoryd. Securities which are trading in NSE

20. For an intermediary a/c, the agreement is signed between;

a. The intermediary & the DPb. The intermediary & the depositoryc. Lender and Borrowerd. The DP & the Depository

21. The networth required for a NBFC to act as a DP on behalf of any

other person isa. Rs. 50 croresb. Rs.100 croresc. Rs. 5 croresd. Rs.10 crores

22. Before screen based trading , the difference in buying / selling price

& reporting price to the client / SE was known asa. Badlab. Galac. DVPd. Inter Trade

23. A DP has to send the shares for dematerialisation within how

many days of receipt of shares a. 7 daysb. 15 daysc. 21 daysd. 30 days

24. How many scrips constitute Niftya. 5 scripsb. 9 scripsc. 50 scrips d. 95 scrips

25. How many scrips constitute Midcap index

a. 100b. 30 c. 200d. 50 scrips

26. SEBI is

a. An autonomous bodyb. Body under the ministry of finance

c. Established by an act of Parliamentd. Biggest stock exchanges in India

27. The regulatory body for plantation companies isa. SEBIb. RBIc. Central Govt.d. None of the above

28. Statement of holding at the end of the day will carry

a. Only the holding at the end of the dayb. Both the transactions and the holdingsc. Only the transactions for the dayd. None of the above

29. Which are the documents to be sent in case of joint a/c for

transmissiona. Transmission form along with fresh account opening applicationb. Transmission form along with a copy of notarised death

certificate to transmit the securities lying in the account of the deceased to the account of the surviving holders.

c. Only Transmission formd. No Objection Certificate(s) from all the legal heir(s) who do not object

to such transmission along with death certificate. 30. Can lock in shares be pledged

a. No, lock-in shares cannot be pledgedb. Yes, always irrespective of lock-in reasonc. Yes as per the NSDL Bye Lawsd. None of the above

31. Unit 64 is

a. Open endedb. close endedc. eitherd. neither

32. Insider trading regulations is formulated by

a. SEBIb. Concerned Stock Exchangec. RBId. Clearing Corporation

33. Credit of pledge appears in the account of

a. Pledgeeb. Pledgorc. Neitherd. Individual

34. VSAT stands for

a. Very Small Aperture Terminalb. Very Small Aptitude Terminalc. Very Small Aptitude Testd. Very Simple Aperture Test

35. In case of Govt. securities monetary benefits distributed directly

bya. RBI

b. NSDL a. DP after receiving benefits from NSDLb. Central Govt.

36. Any amendments to NSDL bye laws come into effect after

a. approval from BOD’s of NSDLb. approval from Executive committee of NSDLc. approval from BOD’s and approval from SEBI one day

prior to the commencement of rule.d. Approval from Executive committee of SEBI

37. If the client insists the broker to deliver in physical form, and the

broker delivers it in demat form, whom should the client approacha. NSDLb. SEBIc. He should insist the broker to deliver in physical formd. He should open a Demat a/c and get them rematerialised

38. To dematerialise Govt Securities one has to open an a/c with

a. RBIb. NSDLc. Any DPd. Institutional DP

39. A DP can lodge insurance claim how many times

a. 1 timeb. 2 timesc. 5 timesd. no limits

40. Who cannot be a sponsor for a depository

a. FIIb. Brokerc. Mutual Fundd. NBFCs

41. The agreement between a DP and a client is

a. Universalb. Varies from DP to DPc. Stated in NSDL byelawsd. At the discretion between the client and the DP

42. What should be the net worth of a custodiana. 1 Croreb. 10 lacksc. 50 lacksd. 50 Crores

43. Minimum subscription % in public issues is

a. 50%b. 90%c. 80%d. 75%

44. Which of the following fields do not form a part of the DRF

a. Type of securityb. Details of lock inc. CM-BP IDd. Quantity to be demated

45. An investor can open a depository a/c with

a. NSDLb. DP of his choicec. SEBId. None of the above

46. Long term capital assets means

a. Shares & securities if it is held for more than one yearb. Shares & securities if it is held less than one yearc. Securities held for more than 5 yearsd. None

47. Under the securities lending scheme , the interest payable on the

securities lent is as per agreement betweena. Lender and intermediaryb. borrower and intermediaryc. Lender borrower intermediaryd. NSDL and the borrower

48. When a pledgee initiates invocation on a certain share the invocation will be based ona. Face value of the shareb. Closing price of invocation execution datec. Any of the aboved. Date of creation of pledge

49. Market type indicates

a. Settlement Nob. Trading segmentc. ISINd. None

50. What are NSDL charges to his DP for account opening

a. Nil chargesb. Depends on DPs charges to clientsc. 0.02%d. 0.04%

51. The Chairman & Managing Director of NSDL is

a. SH Khanb. DR Mehtac. Ajay kumar Banerjeed. C. B. Bhave

52. The Chairman of SEBI is

a. PS Subrahmaniumb. D.R.Mehtac. Damodarand. G.N.Bajpai

53. The most perfect method of inter depository transfer that SEBI has approveda. CM should have a clearing account in CDSL and NSDLb. NSDL & CDSL should have their own respective account with

each other c. none of the aboved. Either of above

54. Who provides the legal frame work for the establishment functioning and dealings in securities , but only the securities of the Companies to be dealt in the depository modea. Depository Act 96b. SEBI regulationsc. NSDL byelawsd. None of the above

55. NSCCL is a wholly owned statutory body of

a. NSEb. BSEc. SEBId. RBI

56. The depository Act came into force on

a. 10 August 96b. 20 September 95c. 10 December 96d. None of the above

57. What is the difference in a pledge and hypothecation

a. No there is no difference at allb. In pledge, the pledgor cannot confirm the invocation from his

DPM but in hypothecation, it is the oppositec. In pledge the pledged security is in the favour of the hypothecateed. Both 2 and 3 options mentioned above is the perfect difference

between a pledge and hypothecation

58. The biggest user of the electronic clearing service (ECS) system is a. UTIb. IDBIc. SBId. NSE

59. In case of any corporate actions of commercial paper, a flat fee at the

rate of Rs. ___________ shall be charged by the issuera. 10000b. 20000c. 5000d. Nil

60. What do you mean by concentrated margin

a. It is margin imposed by NSE on broker for trading in selected basket of scrips with high volatility

b. It is a margin imposed by a broker on client for the services rendered

c. It is a margin imposed by NSDL to the DP for the average value of the demat securities held

d. None of the above 61. In case of conversion of shares from non pari passu shares to pari

passu shares, the settlement fee isa. 0.02%b. 0.04%c. Depends on case to case as per NSDL guidelinesd. No fee shall be charged

62. Each participant shall pay to the depository a non refundable entry fee of

a. Rs.10000b. Rs.25000c. Rs.100000d. No entry fee

63. The minimum security balance required for opening an account is a. an investor can have a zero balanceb. it depends upon DP to DPc. None of the aboved. Either of the above

64. DPs are approved bya. SEBIb. NSDLc. RBId. Securities appellate Tribunal

65. In stock lending scheme

a. Partial repayment and partial recall is allowedb. There is no partial repayment acceptedc. There is no partial recall acceptedd. None of the above

66. Who signs “surrendered for demat” in the share certificates for

Demat? a. NSDLb. DPc. ISSUER/RST Agentd. None of the above

67. Securities of the beneficial owners should not get commingle with

each other nor it should get mix with the DPs own beneficiary a/c is a good example ofa. NSDL byelawsb. NSDL business rulesc. SEBI DPs Regulationsd. Depository Act 1996

68. Investors grievances should be solved by the depository within

a. 30 days b. 31 daysc. 14 daysd. None of the above

69. The Mkt Capitalisation of a company will be determined on the basis

of the Avg Mkt Price for a period of ______weeks preceding the date on which the Company agrees to pay the one time custody fee.a. 25b. 24c. 26d. 21

70. NSDL provides depository services to investors & CMs through DPsa. NSDL does not charge anything to investorsb. NSDL does not charge anything to CMsc. NSDL charges only its DPsd. All of the above

71. NSDL levies all its charges on its DPs. A DP in turn cana. Levy the same charge on its client

b. Load on a profit margin restricted. to max 4 BPsc. The charges of the DPs are specified by SEBId. DPs are free to charge their clients on their own

72. Mr.X sold 100 shares of Infosys to Mr Y. This is an off market trade.

Both X & Y are in the same DP. Y gives a letter to DP stating that he shall bear Xs charges what will NSDL charge the DP (@10000)a. Rs.200b. Rs.400c. Nild. None of the above

73. NSDL charges for off market trade

a. 2BP of value of Net receipts to the accountb. 2 BP of value of Net Delivery from the accountc. 2 BP of value of net securities d. Rs 6/-

74. Mr.X owns 40000 shares of GE shipping . He surrenders the shares for demat to his DP. The DP charges him Rs.2 per certificate which cost him Rs.800/-. He disputes saying that since NSDL does not levy any charge he need not pay anything.a. He is right, DP should not make profits on simple investors b. He is right. He can appeal to Consumer courtc. He is bound by the agreement executed by him while

opening the a/cd. None of the above

75. Cipla wants to remat its entire ESOP holdings aprox.3 million shares.

At the current value of Rs.100 per share the company will pay:- Mkt lot is 100 sharesa. Rs.300,000b. Rs.30,00,000c. Will be based on Tariff charged by the DPd. None of the above

76. Arun pledges shares with stanchart 100 shares of Infosys. Arun

receives money from Stanchart. Arun wishes to sell 50 shares @ 11000. He pays partial amount to Stanchart. Stanchart releases 50 shares to Arun. Arun cannot pay rest of the money. Stanchart gives due notice & invokes 50 shares, Price @ 11200. What will be total charge billed by NSDL ?.a. Rs.1120b. Rs.560c. Rs 25/-d. None of the above

77. Loans against Demat shares in a bank are maximum available to the

tune of a. Rs.10 lakh b. Rs.20 lakh c. Rs.25 lakhd. Rs.50 lakh

78. For the purpose of calculating date of transfer and period of holding

in respect of demat shares.a. FIFO method appliesb. LIFO method appliesc. NIFO method applies

d. Weighted Average method 79. FIFO method will be applied in respect of

a. Physical securitiesb. Demat securitiesc. US64 unit securitiesd. All of the above

80. NSDLs central system comprises an

a. AMD Mainframeb. HP V9000 RISC Serverc. IBM Mainframed. None of the above

81. NSDL Central system is situated at

a. 28th Floor PJ Towers, Dalal streetb. NSE Complex, Mahindra towersc. Trade World, Lower Pareld. Overseas place connected via ISDN Line

82. A disaster back up site is

a. A web site which provides web users with softwareb. A backup server with equal capabilities of the actual server set

up at a remote locationc. A server used only for taking backup of the actual server, but no

operation possibled. None of the above

83. Growmore financials is a Broker firm . They are interested in

becoming a DP Can theya. Approach SEBI with an application for setting up a DPb. Approach NSDL with an application for setting up a DPc. Approach BSE with an application for setting up a DPd. Approach NSE with an application for setting up a DP

84. Geofit Securities is a DP Mr.X is the manager of Geofit securities. He

believes in that he can access any other DPs database through the NSDL network.a. Mr.X is right, all BPs are connected by Network to NSDL & can access

each other's DBb. Mr.X is right, NSDL system provides him with an option of directly

communicating with other dpsc. Mr.X is wrong, No DPs can talk directly with each other. There

is no provision in the systemd. None of the above

85. A counter check in place by NSDL is

a. Contacting certain clients of certain DPs & confirming their balances orally

b. Sending out statements of holdings of some clients on a random basis to ensure that all communications are being released to the customers by the DP

c. Sending representatives to DPs to check the balances of certain customers

d. None of the above 86. Insurance cover to protect investors in case of failure of DPs is

a. Taken by SEBI

b. Taken by DPsc. Taken by NSEd. Taken by NSDL

87. The upper limit on an insurance claim is

a. 1 croreb. 5 croresc. 20 croresd. Unlimited

88. Under the NSDL insurance scheme claims allowed are

a. Maximum 5 claims per annumb. unlimited, for an amount less than 1 crorec. Unlimitedd. none of the above

89. NSDL investor protection fund take care of claims

a. less than 1 croreb. less than 1.5 lakhc. less than 90000d. No such limit

90. For the purpose of carrying out & effecting settlement NSDL is

currently linked to a. NSE, BSEb. 10 stock exchanges across the countryc. 12 stock exchanges across the countryd. 22 stock exchanges across the country

91. Off market trades are

a. Trades done after market hoursb. Trades settled through the CC/CHc. Trades not settled through CC/CHd. None of the above

92. Which of the following fields in an instruction need not match the

receipt in instruction.a. Date of Executionb. Client Idc. Remarksd. ISIN no

93. Execution date refers to the date of

a. Date on which NSDL executes Corporate actionsb. Date on which an instruction has to be executedc. Deadline specified by SEBI w.r.t.instructionsd. None of the above

94. In an off market trade the selling client receives the sales proceeds

from buying client througha. The NSDL systemsb. The buyer pays NSDL who in turn pays the sellerc. The payment mechanism is outside the depository

systemd. None of the above

95. Which of the following is not an off market trade

a. Client delivering his shares to the pool account of his brokerb. Broker effecting payout to his client

c. An individual pledging shares with the bankd. All of the above

96. What instruction is used by an investor for transferring shares from

one beneficiary account to another beneficiary account where the SI is marked as Noa. Delivery instruction ( it is common for both Market & off market

trades)b. Delivery instructions for off market tradesc. Receipt Instructionsd. No instructions as SI for receipt will serve the purpose

97. A rolling market trade has to be settled in

a. T+1dayb. T+5 daysc. Every Mondayd. T+2

98. A market trade is

a. Trade settled through CC / CHb. Trade not settled through CC / CHc. Trade done in Demat segmentd. None of the above

99. Payin of securities refer to

a. Receipt of securities from CC / CHb. Delivery of securities to CC / CHc. Transfer of securities from client to brokerd. None of the above

100. Payout of securities refer to

a. Gross receipt of securities from CC/CH for a settlementb. Gross deliverables of securities to CC/CH for a settlementc. Net receivables of securities from CC / CH for a

settlementd. None of the above

101 For effecting a payin through the CC/CH broker needs to

a. Inform NSDL about his obligation for the settlementb. Provide a Delivery by client instruction to his DP to effect payinc. Provide a Delivery to CC instruction to his DP to effect

payind. None of the above

102. Following is not a component of NSDL CM account

a. CM Pool a/cb. CM Delivery a/cc. CM Receivable a/cd. None of the above

103. At the time of payin the securities are delivered to the CC / CH from

a. CM Delivery A/cb. Client beneficiary account directlyc. Through an off market transactiond. None of the above

104. X is a CM. Y is his client. Y has an obligation to deliver 100 shares of Reliance for a particular settlement. The deadline for payin is 3.00

pm. Y transfers the balance after 3.00 PM. What will happen to Xs obligation a. Xs obligation will be auctioned off at 3.00 pm as the shares

are not delivered by him in timeb. NSDL provides a window for Late pay in after the deadline time

by.payment of late feesc. Y can deliver in the consequent settlementsd. None of the above

105. What instruction will a CM use to deliver shares to a client from the

pool accounta. Account transfer instructionb. Delivery Instruction by CM on Pay-outc. Receipt in instructiond. None of the above

106. What option will the DP use in DPM for effecting a transfer between

two beneficiaries within the same DPa. Off market transferb. Intra DP transferc. Inter DP transferd. Account transfer

107. Which of the following transactions are automatic and do not require

the CM to give an instructiona. Transfer of securities from CM Dely A/c to CC/CHb. Transfer of securities from CC/CH to CM receipt in accountc. Both of the aboved. none of the above

108. X transfers 1000 shares of Infosys to his broker for sale. What will

NSDL charge X ?a. 2 basis pointsb. 4 basis pointsc. nild. None of the above

109. In India the route to the depository is

a. Immobilizationb. Dematerialisationc. Custodyd. None of the above

110. Mr.X holds hundred shares of a scrip which is not admitted in the depository. What can he do to get his shares into Demat ?a. Write to NSDL to create a security in their systemb. Write to SEBI to introduce the security in the depositoryc. The shares cannot be converted to demat as the security has

not been admitted to the depositoryd. None of the above

111. Mr.X and Mrs.X hold 100 shares of Satyam. Can their shares be

admitted for demat in an account held by MrX singly.a. Yes, Mr.X is a joint holder in their sharesb. Yes, but Mrs.X will have to sign on the DRFc. No, demat is possible only through the account where the

holding pattern matches the names on the certificatesd. None of the above

112. Securities in the name of X&Y can be admitted for demat in an account of Y&X respectively as joint holders.a. Yes, both are joint holders, the order does not matterb. Yes, in case of either or survivor, the order does not matterc. No, a separate account of X&Y needs to be opened for the purposed. None of the above

113. In a DRF the signature needs to be of

a. Any of the joint holdersb. all the joint holders togetherc. The first holderd. any one of the holders authorised at the time of account

opening 114. Mr.X submits 100 shares of Asian Paints to his DP for demat. On

scrutinizing it is found that the shares are under lockin. The DP returns the client citing so. Are they correct in doing soa. Yes, lockin shares cannot be surrendered for dematb. No, the shares under lockin can be dematerialised , provided

the fact of lockin is mentioned on the DRFc. Yes, lockin shares can be dematerialised only after the lockin

period is overd. None of the above

115. Mr.X submit 1000 shares of Prism Cement for demat. In the DRF he

makes a mistake while entering the DNR details. The DP accepts the shares & DRF : Is it righta. Yes, DNR details are not entered in the DPM system hence are not

verified by R&T agentsb. In a depository all securities are fungible hence a mistake in the DNR

details can be overlookedc. The R&T agent will reject the DRF citing mismatch in the DNR

detailsd. None of the above

116. ISIN for a security is allocated to an Issuer bya. RBIb. NSDLc. BSEd. SEBI

117. Mr.X submits 100 shares of Satyam for demat. He notes down the

DRN nos of the shares. When he gets credit of the demat into his account, he inquires with his DP about the DNR details. DP has to inform him thata. NSDL forgot to put in DNR details in the system and they should be

contactedb. The DNRs Nos do not appear in the statement but the depository

maintains a track of DNR nosc. Once the shares are dematerialised, they become fungible, ie,

they lose their identity, hence there can be no DNR nosd. None of the above

118. If a unitholder opts for either or survivor basis in case of his US64 units, the demat requests pertaining to them can bea. processed through the same account that he has for his other

holdings in demat form with an undertaking that this facility is available only for US64 units

b. Processed through any one of the above

c. Not applicable, US64 units do not have the facility of either or survivor basis

d. None of the above

119. A client submits a repurchase form for US64 units held in demat to his DP. The DP directs the client to the nearest UTI office to submit the form. Is the DP right?a. Yes, repurchase forms have to be submitted by the client to the UTI

for US64 units held in demat formb. No, the DP must accept the repurchase request and generate a

RRN and submit this to the UTI officec. Either of the above, depending on the preference of the clientd. None of the above

120. If in a lot of 1000 shares sent for demat, 900 shares are found to be

fraudulently issued and 100 in order, the R&T agent willa. Return 1000 shares to the DPb. Return 100 shares to the DP & destroy 900 sharesc. Reject 900 shares in NSDL system and process 100

sharesd. None of the above

121. What is the time limit specified by SEBI for demat

a. 7 days from date of receipt of physical request from DPb. 15 days from date of receipt of physical request from DPc. 30 days from date of receipt of physical request from DPd. NO time limit is specified by SEBI

122. What is the maximum permissible time limit for remat as allowed by SEBIa. 7days from date of receipt of physical request from DPb. 15 days from date of receipt of physical request from DPc. 30 days from date of receipt of physical request from DPd. No time limit is specified by SEBI, depends on R&T agents load

123. Will an investor opting for remat get back his original share

certificatesa. Yes, the underlying securities are immobilized, it is possible to track

DNR nos.b. No. the registrar has a large pool of DNR Nos. So he need not know

the particular trail of their certificatec. Since demat shares are fungible the investor gets back the same

certificate nos. that he submittedd. None of the above

124. After the processing of dematerialising the registered owner is

a. SEBIb. NSDLc. Investord. R&T Agent

125. A scrip is available only in CDS and not in NSDL. An investor demats

his holding in CDS and tries to transfer his balance to his NSDL accounta. The transaction will go throughb. The transaction will fail as the security is not admitted in

NSDLc. Such a situation is not possible as NSDL & CDS have same securities

admitted to them

d. None of the above 126. Following cannot be a reason for rejection of demat

a. Shares not received as per DRFb. The a/c holder name does not match with that on the security

because of fathers name as initial is presentc. Incorrect holder's named. All of the above

127. Mr X has recently bought 100 shares of Reliance in physical. Can he

lodge these shares in street names for dematerialising in these namesa, No, the certificates have to be sent for transfer and the

physical certificates when received back after transfer must be submitted

b. Yes Reliance offers T cum Demat services for physical shares, hence the physical shares can be sent for transfer and upon receipt of option letter a DRN can be sent

a. Yes, the physical certificates along with the TD duly executed must be submitted to the DP accompanied with a DRF form

b. None of the above 128. For a new company issuing shares, it has to follow

a. SEBI regulationsb. Guidelines issued by DCAc. No guidelinesd. RBI guidelines

129. BSE trading terminal is known as

a. BOLTb. NEATc. NESTd. DPM

130. Settlement guarantee fund was introduced by

a. BOISLb. NSCCLc. OTCEId. CSE

131. Can a Main Broker become a DP a. Nob. Yesc. At the Discretion of his exchanged. At the Discretion of NSDL

132. When will a delivery instruction fail

a. When the client does not have adequate number of shares in his account

b. When the client has not paid the dues to the DPc. When the client has not paid his dues to the brokerd. As per the discretion of the exchange

133. When a Clearing member gives a delivery out instruction which transaction takes Placea. Shares move form pool account to clearing corporationb. Shares move form pool account to delivery accountc. Shares move from beneficiary account to pool accountd. Shares move form client account to pool account

134. Who is authorised to sign the Delivery Instruction slip for the transfer of shares from the pool account to Clearing Housea. Individual sellerb. Buyerc. Buyer’s Clearing Memberd. Seller’s Clearing Member

135. Which brokers can become a DP

a. SEBI approvedb. SEBI approved brokers with minimum net worth of Rs. 50 lacsc. Brokers with minimum net worth of Rs. 50 lacs irrespective of SEBI

approvald. Any broker

136. In case a company declares a Right Issue, who dispatches the option letter to the existing share holders a. NSDLb. SEBIc. R & T Agent or the Company itselfd. Credit rating agency which has allocated credit rating to the

company

137. On what is Capital Gain Tax levieda. Net value of shares held in Demat a/cb. Income gained after sale of sharesc. Profit made after sale of sharesd. Total profit made in a year by sale of shares

138. What is market typea. Exchangeb. Settlement noc. CM-BP Idd. Physical, Rolling, etc (Trading Segment)

139. Which Securities can be transferred from one Depository to another a. Securities approved by SEBIb. Only those which are admitted in NSDL and CDSLc. Only those which are admitted in CDSLd. Only those which are admitted in NSDL

140. How many pool accounts can a broker have a. One per DP

b. One per exchange per DPc. One per Exchanged. As many as he wants

141. Through which medium do DPs and NSDL communicate with each other a. Through SEBIb. Through Exchangesc. Through Star Networkd. On Real Time basis

142. Who Dematerializes Govt. Securities a. The appointed R & T Agentb. NSDLc. Karvy Consultantsd. NSE

143. Can an individual refuse to accept the shares in demat form

a. Nob. He has to notify NSDLc. Yes. In that case the broker has to get physical share.d. He has to notify SEBI

144. What are a/c opening charges a. Nilb. Rs. 25c. Rs. 50d. Depends upon the net worth of his account

145. Which of the following forms a part of DRF

a. Name of the exchangeb. Settlementc. CM-BP Idd. Lock in reason

146. NSDL a. Proprietary firmb. Trustc. Public Sector Undertakingd. Public Limited Company

147. Under what circumstances can a Delivery instruction be cancelled a. If the instruction is under reversible statusb. If the broker has that particular obligationc. If the instruction is under irreversible statusd. When the instruction is released

148. When can a corporate become an NSE member a. If it suffices all the terms and conditions of SEBIb. Any one can become a memberc. At the discretion of NSEd. If it is in Demat

149. Which of the following does not form a part of DRF a. Client Idb. ISINc. Company named. Exchange name

150. Which of the following does not form a part of the delivery instruction slip a. Settlementb. CM-BP Idc. Exchange in which the shares are tradedd. ISIN

151. Pick the odd one out a. Optionsb. Futuresc. Forwardd. Debentures

152. Pick the odd one out a. Individual account

b. Pool accountc. Receipt in accountd. Current account

153. In case of Remat, the registrar will transfer the Share Certificates into whose name a. NSDLb. Clientc. DPd. Company

154. If a broker has obligation for auction-physical settlement, to whom will he give the delivery of the shares a. NSDLb. Clearing Corporationc. CDSLd. Concerned broker, whose shares could not be delivered on time

by him

155. How many sub-brokers can a main broker have a. As many as he wantsb. One per exchangec. Only those who have an account with the same DP as hisd. Only one

156. How many accounts can an individual have in the same name a. One account per DPb. One account per namec. Any number of a/cs in one DPd. Any number of a/cs in one or more DPs

157. What is the maximum time for Remat for R & T agents a. 15 days from the day he receives the requestb. 30 days from the day R&T receives the requestc. 15 days from the day the DP receives the requestd. 30 days from the day the DP receives the request

158. What is the maximum interest a DP can charge to its client in case he fails to pay his duesa. 24% pa b. 12% pac. no limitd. 8%

159. If a client pledges his shares but fails to pay his debts a. The shares are invoked in the pledgor’s accountb. The shares are confiscated by NSDL and the debts are paid by

themc. The pledge is closed and the client’s beneficiary account is suspended

for debitd. Debts are required form the client’s savings account

160. In case an individual has many accounts in different DPs how do the tax authorities calculate the tax a. Tax is calculated account wiseb. Tax is calculated per DP per individualc. Tax is calculated per exchange d. At the discretion of the Tax Authorities

161. Which act governs the transfer of shares form one account to another a. NSDL Bye-Lawsb. Depository Act 1996c. SEBI Guide-linesd. Under Companies Act 1956

162. Corporate benefits for government securities go to a. NSDLb. SEBIc. Clientd. None of the above

163. A Resident India purchase shares in India in physical form and then goes abroad. If he now wants his shares to be Demated, which type of Demat account should he open. a. HUFb. Resident ordinaryc. Corporated. NRI Repatriable

164. Which of the following does not require "Witness"?

a. DP Client Agreement.b. DP Nomination Form.c. Indemnity by DP for missed Certificates.d. Freeze / Defreeze Form.

165. Schedule of Charges to be signed by the Client because: a. of NSDL Bye-Law. b. of SEBI's stipulation. c. to get confirmation from the clients that they read the schedule of

charges. d. it forms part of DP Client Agreement. 166. Which among the following categories can not have a joint account? a. a minor individual / HUF. b. Corporates. c. a major resident individual. d. a major non-resident individual. 167. In the T+2 settlement, a client sold some scrips in NSE on

22/01/2004 which falls on Thursday. Monday 26th January 2004 is a holiday on account of Republic Day. When will be the Pay-in of securities for the trading done on 22/01/2004?a. Friday, 23/01/2004.b. Saturday, 24/01/2004.c. Monday, 26/01/2004.d. Tuesday, 27/01/2004.

168. The basic condition for creating a Pledge is that:

a. both the pledgor and the pledgee should have demat account with the same DP.

b. only the pledgor should have a demat account for creating a Pledge and not the pledgee.

c. the pledgor and pledgee can have demat account in any DP connected to NSDL.

d. either the pledgor or the pledgee can have demat account with a DP connected to NSDL whereas the other can have a demat account with a DP connected to CDSL