n NISM Certifications
X NISM Series X
Medium

The J Curve illustrates the pattern of fund valuation over time, where initial negative cash flows during investment are followed by increasing returns as investments mature and exit. It primarily represents the rise or fall in fund valuation as a function of internal rate of return (IRR) over time.

Practice question from NISM Series XIX A- Alternative Investments Funds (AIF) Distributors Mock Test 2 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    Market price against time

  2. FIRR against time

    Correct answer

  3. C

    NAV against time

  4. D

    Fair value against time

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

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