n NISM Certifications
VII NISM Series VII
Medium

Collateral limits once set are applicable to the trading members/custodial participants for that ________, unless otherwise modified by the clearing member.

Practice question from NISM Series VII Mock Test 6 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    Month

  2. B

    Week

  3. Day

    Correct answer

  4. D

    Year

Why this is the answer

Collateral limits once set are applicable to the trading members/custodial participants for that day, unless the clearing member modifies them. This ensures daily monitoring of exposure.

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