NISM – V – A

The examination seeks to create a common minimum knowledge benchmark for all persons involved in selling and distributing mutual funds including:

1. Individual Mutual Fund Distributors.
2. Employees of organizations engaged in the sales and distribution of Mutual Funds.
3. Employees of Asset Management Companies especially persons engaged in the sales and distribution of Mutual Funds.

The certification aims to enhance the quality of sales, distribution and related support services in the mutual fund industry.

On successful completion of the examination the candidate should:

1. Know the basics of mutual funds, their role and structure, and the different kinds of mutual fund schemes and their features.
2. Understand how mutual funds are distributed in the marketplace, how schemes are to be evaluated, and how suitable products and services can be recommended to investors and prospective investors in the market.
3. Get oriented to the legalities, accounting, valuation and taxation aspects underlying mutual funds and their distribution.
4. Get acquainted with financial planning as an approach to investing in mutual funds, as an aid for mutual fund distributors to develop long-term relationships with their clients.

– This is a computer-based examination with multiple-choice questions.
– The examination consists of 100 questions of 1 mark each adding to 100 marks.
– The examination should be completed in 2 hours.
– There shall be no negative marking.
– The passing score for the examination is 50 marks.