n NISM Certifications
XV NISM Series XV
Medium

Which investment instruments may generate both capital appreciation and recurring income?

Practice question from NISM XV Mock Test 4 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    Bonds

  2. B

    Gold

  3. C

    Equities

  4. Both Bonds and Equities

    Correct answer

Why this is the answer

Equities can pay dividends and increase in value, and bonds pay periodic interest and can also appreciate under favorable conditions, making both capable of providing recurring income and capital gains.

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