Financial Markets : A Beginner's Module (Foundation) Practice Exam

Financial Markets: A Beginner's Module (Foundation) Practice Exam

The Financial Markets: A Beginner's Module serves as an introductory program suitable for individuals seeking to embark on a career in India's financial markets or those aiming to grasp the foundational aspects of capital markets. Designed to facilitate comprehension, the course delves into fundamental concepts including various investment avenues, primary and secondary markets, derivatives, and financial statement analysis. This module offers:

• A foundational grasp of financial market products, participants, and operations, with a focus on the capital market.
• Familiarity with the terminology and jargon commonly encountered in financial newspapers and periodicals.

Who should take the exam?

This exam will benefit:

• Students
• Teachers
• Investors
• Employees of BPOs/IT Companies
• Employees of Brokers/Sub-Brokers
• Housewives
• Anybody having interest in the Indian securities market

Exam Details

• Exam Name: Financial Markets : A Beginner's Module
• Exam Languages: English
• Exam Questions: 60 Questions
• Time: 120 minutes
• Passing Score: 50%

Course Outline 

The exam covers the given topics  - 

Topic 1: Understand Markets and Financial Instruments

• Types of Markets: Equity Debt, Derivatives Commodities; Meaning and features of private, Public companies; Types of investment avenues.

Topic 2: Learn about Primary Market

• Initial Public Offer (IPO); Book Building through Online IPO; Eligibility to issue securities; Pricing of Issues; Fixed versus Book Building issues; allotment of Shares; Basis of Allotment; Private Placement.

Topic 3: Understand Secondary Market

• Role and functions of Securities and Exchange Board of India (SEBI); Depositories; Stock exchanges Intermediaries in the Indian stock market Listing; Membership; Trading Clearing and settlement and risk management; Investor protection fund (IPF); and Do's and Don'ts for investors, Equity and debt investment.

Topic 4: Derivatives

• Types of derivatives; Commodity and commodity exchanges; Commodity versus financial derivatives.

Topic 5: Learn Financial Statement Analysis

• Balance sheet; Profit & loss account; Stock market related ratios; Simple analysis before investing in the shares; understanding annual report; Director's report etc.