n NISM Certifications
VII NISM Series VII
Medium

‘Application Supported by Blocked Amount’ (ASBA) is specifically meant for:

Practice question from NISM Series VII Mock Test 4 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. Primary Markets

    Correct answer

  2. B

    Secondary Markets

  3. C

    Auction Markets

  4. D

    All of the above

Why this is the answer

ASBA is used in the Primary Market for IPO applications. The applicant’s funds are blocked in their bank account and debited only to the extent of shares allotted.

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