| Q 1. | What are transitory d'mat accounts ?
D'mat account of NRI's
D'Mat account of Minors
D'Mat account of Clearing Members
D'Mat account of Beneficiary
 CORRECT ANSWER  WRONG ANSWER
CORRECT ANSWER:D'Mat account of Clearing Members Explanation:
A Transitory account is the account of the clearing member. The securities in this account are held for a commercial purpose only and are not owned by him. |
| Q 2. | The Depository Participant has to reconcile its record with the Depository on a _________ basis.
every 12 hours
daily
every Wednesday and Saturday
weekly
CORRECT ANSWER WRONG ANSWER CORRECT ANSWER:daily Explanation:
The Depository Participant has to reconcile its records with its depository on a daily basis.
The depository system has been formulated to do this reconciliation automatically every day at the end of the day. |
| Q 3. | Dated securities have a maturity period of ___________ .
Less than one year
More than one year
Between six months to one year
Usually more than 5 years
CORRECT ANSWER WRONG ANSWER CORRECT ANSWER:More than one year Explanation:
Dated Securities have a maturity period of more than one year. Treasury Bills have a maturity period of up to one year. |
| Q 4. | When an application is made to transfer Government Securities (G-Secs) in SGL form to Depository account, the clients signature on the DRF-GS need be verified with that on the account opening form.
False
True
CORRECT ANSWER WRONG ANSWER CORRECT ANSWER:True |
| Q 5. | Persons who are holding shares in physical form can get them dematerialised by submitting them to ___________ .
their broker / sub broker
depository
depository participant
Bank
CORRECT ANSWER WRONG ANSWER CORRECT ANSWER:depository participant Explanation:
Investors have to submit the physical securities along with the DRF (Demat Requisition Form) to the Depository Participant (DP) with whom they have opened a d'mat account.
The DP will them send the physical securities to the Transfer Agent who will then dematerialise the shares after proper verification. |
| Q 6. | A Demat Requisition Form ie. DRF can be rejected by a Registrar and Transfer agent if __________________.
The signatures in their records do not match with that on DRF
The securities to be Dematted are not attached with DRF
The ISIN number of the security is wrongly mentioned
All of the above.
CORRECT ANSWER WRONG ANSWER CORRECT ANSWER:All of the above. |
| Q 7. | A Depository Participant may terminate/stop its operation by giving a ___ days notice to the Depository.
30
45
60
90
CORRECT ANSWER WRONG ANSWER CORRECT ANSWER:30 Explanation:
A Depository Participant may terminate its participation in the depository by giving a notice of not less than 30 days.
On receipt of such notice, the depository may cease to provide any service or act for the DP. The depository should notify the DP, other participants, clients of the surrendering DP and SEBI within seven days of this action. |
| Q 8. | Who has the authority to cancel the registration of a Depository Participant ?
NSDL or CDSL
The Stock Exchange
SEBI
Finance Ministry under the instructions of RBI.
CORRECT ANSWER WRONG ANSWER CORRECT ANSWER:SEBI Explanation:
The certificate of registration granted to a DP may be cancelled by SEBI if it is found that:
• it is guilty of fraud, or has been convicted of an offence involving moral turpitude or
• it has been guilty of repeated defaults specified for suspension of the registration. |
| Q 9. | The Demat a/c nos. in India are always of ___ digits.
8
12
16
20
CORRECT ANSWER WRONG ANSWER CORRECT ANSWER:16 Explanation:
A Demat a/c has 16 digits. In CDSL the first 8 digits indicate the Depositiory Participant and the next 8 digits is the client's ID.
On NSDL also we have the same system, but the DP ID begins with letters 'IN' |
| Q 10. | Which of the following is a Cash Corporate Action ?
Dividend
Bonus
Rights
All of the above
CORRECT ANSWER WRONG ANSWER CORRECT ANSWER:Dividend Explanation:
Cash corporate actions involve distribution of monetary benefits, e.g., dividend and interest etc.
Non-cash corporate actions involve distribution of benefits other than cash such as bonus issues, offer of shares on right basis, conversion of securities, etc.
|