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

Identify the true statement with respect to investments in mutual funds through Stock Exchanges?

Practice question from NISM Series V A - Mock Test 5 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. Stock exchanges have now become another important channel for mutual fund companies to sell their units to investors

    Correct answer

  2. B

    One can buy mutual fund units on stock exchange but cannot sell them on stock exchange

  3. C

    The mutual fund units purchased through a stock exchange have a mandatory lock-in period of 30 days

  4. D

    None of the above are true

Why this is the answer

SEBI has enabled the buying and selling of mutual fund units through stock exchanges, providing investors with a more accessible and cost-effective method for transactions.

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