n NISM Certifications
X NISM Series X
Medium

One of the key provisions of a distributor agreement is the commercial understanding with the distributor. This agreement establishes the contractual relationship, outlining the terms, responsibilities, and commercial arrangements between the AIF and the distributor, including marketing, sales targets, commissions, and other commercial terms.

Practice question from NISM Series XIX A- Alternative Investments Funds (AIF) Distributors Mock Test 3 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    The applicability of the SEBI (AIF) Regulations 2012 to the fund

  2. The commercial understanding with the distributor

    Correct answer

  3. C

    The quantum of risk to be assumed by the AIF

  4. D

    The role of the distributor in AIF investment strategy

A full explanation for this question is being written. In the meantime, the correct answer is highlighted above.

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