n NISM Certifications
NSM General NISM
Medium

What is the meaning of Market Risk?

Practice question from NISM Series IV - Mock Test 2 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    Risk if the market/exchange defaults

  2. Risk due to future price change uncertainty

    Correct answer

  3. C

    Risk of loss

  4. D

    None of the above

Why this is the answer

Market risk involves potential gains/losses from price fluctuations.

Test yourself for real

Take a full General NISM mock test.

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