n NISM Certifications
X NISM Series X
Medium

Which stocks are generally least liquid in the stock markets?

Practice question from NISM Series XA- Investment Adviser (Level 1) Mock Test 1 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    Large Cap Stocks

  2. B

    Ultra Large Cap Stocks

  3. C

    Mid Cap Stocks

  4. Small Cap Stocks

    Correct answer

Why this is the answer

Small cap stocks have lower trading volumes and liquidity compared to large or mega-cap stocks, making them less liquid.

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