n NISM Certifications
V-A NISM Series V-A
Medium

According to the AMFI's code of conduct for mutual fund intermediaries, if a second violation against the intermediary is proved, their registration will be ______ .

Practice question from Nism VA Mock Test 1 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    Suspended for 1 year

  2. B

    Suspended for 3 years

  3. C

    Withheld

  4. Cancelled

    Correct answer

Why this is the answer

If an intermediary violates the AMFI Code of Conduct twice, their registration will be cancelled. This is after AMFI issues a warning letter following the first violation, and if the second violation is proved, the registration is cancelled.

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