n NISM Certifications
VII NISM Series VII
Medium

Every portfolio manager has to appoint a ________ in respect of securities managed or administered by it.

Practice question from NISM Series VII Mock Test 3 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    Depository Participant

  2. B

    Broker

  3. C

    Research Analyst

  4. Custodian

    Correct answer

Why this is the answer

As per SEBI (Portfolio Managers) Regulations, every portfolio manager must appoint a custodian for the safekeeping of securities managed or administered by them. This requirement doesn’t apply to managers providing only advisory services.

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