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

The units of a Close-ended mutual fund are traded between the unit holders/investors and ______ on the stock exchange.

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

Options

  1. A

    The Mutual Fund

  2. Other unit holders/investors

    Correct answer

  3. C

    Specially appointed market makers to enhance liquidity

  4. D

    The Sponsors

Why this is the answer

In closed-end mutual funds, the units are traded on the stock exchange between investors after the fund's initial offering. The mutual fund does not buy or sell these units post-NFO (New Fund Offer).

Test yourself for real

Take a full NISM Series V-A mock test.

Same duration, same weighting, same difficulty distribution as the real exam — with explanations on every question.