n NISM Certifications
X NISM Series X
Medium

When a Category II AIF acquires a 40% stake in an SME listed on an exchange, it must inform the stock exchange within two trading days, ensuring transparency and regulatory compliance.

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

    SEBI approval within two days

  2. Notify stock exchange within two trading days

    Correct answer

  3. C

    Inform SME management two days prior

  4. D

    Obtain SEBI prior approval after proposal approval

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

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