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

In case of Exchange Traded Funds (ETFs), the minimum investment in securities of a particular index (which is being replicated/tracked) shall be ___ percent of total assets.

Practice question from Nism VA Mock Test 6 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    100

  2. 95

    Correct answer

  3. C

    85

  4. D

    75

Why this is the answer

In an ETF that tracks an index, the minimum investment in the securities of the index being replicated or tracked must be at least 95% of the total assets of the fund.

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