Automated Trading Systems Quiz
(559).jpg "Automated Trading Systems Quiz - Quiz")
Are you aware of Automated Trading Systems? You can take this quiz on the Automated Trading System exam question to practice. This test will help you understand what you know and what you need to know. Automated Trading Systems is basically a subset of algorithmic trading used in market centers or exchanges. Go for the quiz, and check your knowledge. Try to get a perfect score on this quiz. If you like the quiz, do not forget to share the quiz with others.
- 1.
Stages in a stockbroking circle are made up of:
- A.
Arrival, Business Relationship and Satisfaction
- B.
Pre-Arrival, Arrival, Business Relationship and Satisfaction
- C.
Marketing, Business Relationship, verification, contract note and Bank
- D.
Marketing, opening account, paying cash, execution of mandate and contract note
Correct Answer
B. Pre-Arrival, Arrival, Business Relationship and SatisfactionExplanation
The correct answer is Pre-Arrival, Arrival, Business Relationship and Satisfaction. This sequence represents the stages in a stockbroking circle. Before the arrival of the client, there is a pre-arrival stage where the broker prepares for the meeting. Then the client arrives, and the business relationship is established between the broker and the client. Finally, the satisfaction stage comes after the completion of the transaction, where the client's satisfaction with the services provided by the broker is assessed.Rate this question:
-
- 2.
The back office department is made up of
- A.
Customer service & Compliance
- B.
Operations & Finance
- C.
Customer service & Finance
- D.
Operation & Business Development unit
Correct Answer
B. Operations & FinanceExplanation
The back office department is responsible for performing administrative and support tasks that are essential for the smooth functioning of a company. These tasks include financial management, record keeping, data entry, and other operational activities. Therefore, the correct answer is Operations & Finance, as these two functions are typically included in the back office department.Rate this question:
-
- 3.
The trade comparison, clearing & Settlement function is handled by:
- A.
Front office
- B.
Back office
- C.
Settlement Office
- D.
Service support office
Correct Answer
B. Back officeExplanation
The trade comparison, clearing & settlement function is handled by the back office. This is because the back office is responsible for the administrative and support functions of a financial institution, including trade processing, reconciliation, and settlement. The back office ensures that trades are accurately recorded, confirmed, and settled in a timely manner, minimizing operational risk and ensuring smooth operations.Rate this question:
-
- 4.
The accounts maintenance function is handled by:
- A.
Service support unit
- B.
Customer service
- C.
Front Office
- D.
Back office
Correct Answer
D. Back officeExplanation
The back office is responsible for handling the accounts maintenance function. This department typically deals with administrative tasks such as record-keeping, data entry, and processing financial transactions. Unlike the front office, which focuses on customer-facing activities, the back office works behind the scenes to ensure the smooth operation of the organization. They play a crucial role in maintaining accurate and up-to-date accounts, which is essential for the overall financial management of the company.Rate this question:
-
- 5.
Which of the following best describes the roles of the financial market are:
- A.
Create liquidity
- B.
Allocate scarce resources from savers to investors
- C.
Creates an avenue to save
- D.
Creates security for your asset
Correct Answer
B. Allocate scarce resources from savers to investorsExplanation
The financial market plays a crucial role in allocating scarce resources from savers to investors. This means that it facilitates the transfer of funds from individuals or entities with surplus funds (savers) to those in need of capital for investment purposes (investors). By connecting these two parties, the financial market helps to efficiently distribute resources and promote economic growth. The other options mentioned, such as creating liquidity, providing an avenue to save, and creating security for assets, are also important functions of the financial market, but they are not the best description of its primary role.Rate this question:
-
- 6.
Primary market transactions include:
- A.
Rights Issue, Private Placement, Special Placement, Public Offer
- B.
Initial Public Offer, Public Offer, Private Placement
- C.
Initial Public Offer, Public Offer, Private Placement, Introduction
- D.
Initial Public Offer, Public Offer, Private Placement, Special Placement
Correct Answer
B. Initial Public Offer, Public Offer, Private PlacementExplanation
Primary market transactions refer to the process of issuing new securities to the public for the first time. These transactions include Initial Public Offer (IPO), where a company offers its shares to the public for the first time, Public Offer, where shares are offered to the general public, and Private Placement, where shares are offered to a select group of investors. Special Placement is not a commonly used term in the context of primary market transactions. Therefore, the correct answer is "Initial Public Offer, Public Offer, Private Placement."Rate this question:
-
- 7.
Parties to a primary market transaction are
- A.
Issuing house, stockbroker, reporting accountant, solicitor, AMCON
- B.
Issuing house, stockbroker, reporting accountant, SEC, registrar
- C.
Issuing house, stockbroker, EFCC, solicitor, registrar
- D.
Issuing house, stockbroker, reporting accountant, solicitor, registrar
Correct Answer
D. Issuing house, stockbroker, reporting accountant, solicitor, registrarExplanation
The parties involved in a primary market transaction are the issuing house, stockbroker, reporting accountant, solicitor, and registrar. The issuing house is responsible for issuing the securities to the public. The stockbroker acts as an intermediary between the issuing house and the investors. The reporting accountant ensures that the financial statements provided by the issuing house are accurate and reliable. The solicitor provides legal advice and assistance throughout the transaction. The registrar maintains the register of shareholders and handles the transfer of securities.Rate this question:
-
- 8.
Role of a stockbroker in a primary market transaction includes:
- A.
Marketing, Liaising with CAC, Pricing, Allocation, Research & Listing
- B.
Marketing, Liaising with SEC, Pricing, Allocation, Research & Listing
- C.
Marketing, Liaising with NSE, Pricing, Allocation, Research & Listing
- D.
Marketing, Liaising with CBN, Pricing, Allocation, Research & Listing
Correct Answer
C. Marketing, Liaising with NSE, Pricing, Allocation, Research & ListingExplanation
The role of a stockbroker in a primary market transaction includes marketing the securities, liaising with the NSE (National Stock Exchange), pricing the securities, allocating the securities to investors, conducting research on the securities, and listing the securities on the exchange. The stockbroker is responsible for promoting the securities to potential investors, coordinating with the NSE for regulatory compliance, determining the appropriate pricing for the securities, distributing the securities to interested investors, conducting thorough research on the securities to provide accurate information to clients, and facilitating the listing of the securities on the exchange for trading.Rate this question:
-
- 9.
Which of the following is not a function of the Monitoring and Enforcement unit
- A.
  Issue circular and bulletin to the market
- B.
Risk based supervision of Dealing Firm
- C.
Tracking inspection feedback and deadlines
- D.
Conduct special investigations
Correct Answer
D. Conduct special investigationsExplanation
The Monitoring and Enforcement unit is responsible for various functions such as issuing circulars and bulletins to the market, conducting risk-based supervision of dealing firms, and tracking inspection feedback and deadlines. However, conducting special investigations is not listed as one of its functions.Rate this question:
-
- 10.
Which of the following is not a unit in the Broker-Dealer Regulation Department
- A.
 Surveillance
- B.
Licensing Relationship Management
- C.
Enforcement and Monitoring
- D.
Tips and complaints management
Correct Answer
A. Â SurveillanceExplanation
Surveillance is not a unit in the Broker-Dealer Regulation Department. The other options, Licensing Relationship Management, Enforcement and Monitoring, and Tips and complaints management, are all units that are typically found within the department. Surveillance, on the other hand, may be a separate department or function within the organization, but it is not specifically mentioned as a unit within the Broker-Dealer Regulation Department.Rate this question:
-
- 11.
Which of these is not within the direct control of Broker-Dealer Regulation Department
- A.
Ensuring the firm engage compliance officer
- B.
Managing complaints from both clients and firms
- C.
Ensuring that listed companies hold AGM
- D.
Conduct pre-trade inspection for firms that have been issued license
Correct Answer
C. Ensuring that listed companies hold AGMExplanation
The Broker-Dealer Regulation Department is responsible for ensuring compliance within the brokerage industry. This includes overseeing the engagement of compliance officers, managing complaints, and conducting pre-trade inspections. However, ensuring that listed companies hold Annual General Meetings (AGMs) falls under the jurisdiction of corporate governance regulations and is not directly controlled by the Broker-Dealer Regulation Department.Rate this question:
-
- 12.
 All customer related and transaction information regardless of mode of communication must be retained for a minimum period of:
- A.
Four Years
- B.
Two Years
- C.
Ten Years
- D.
Six Years
Correct Answer
D. Six YearsExplanation
The correct answer is Six Years because it is a common practice in many industries, such as finance and healthcare, to retain customer-related and transaction information for a minimum period of six years. This is done to comply with legal and regulatory requirements, as well as to ensure that the organization has a record of past interactions and transactions for reference and audit purposes. Retaining this information for six years allows the organization to maintain a comprehensive and accurate history of its customer interactions and transactions.Rate this question:
-
- 13.
A modern stock broking environment should have a minimum of three layers of controls. Which of the following is not a control layer
- A.
Risk Management
- B.
Compliance Management
- C.
Password Management
- D.
Internal Audit
Correct Answer
C. Password ManagementExplanation
Password Management is not considered a control layer in a modern stock broking environment. Control layers typically refer to measures and processes that ensure the security, compliance, and risk management of the system. Risk Management, Compliance Management, and Internal Audit are all control layers that help in managing and mitigating risks, ensuring adherence to regulations, and conducting internal audits for the overall functioning of the stock broking environment. Password Management, on the other hand, is a security measure that focuses on the management and protection of passwords, but it does not directly contribute to the overall control and management of the environment.Rate this question:
-
- 14.
Professional Ethics encompasses the following:
- A.
The personal standards of behavior expected of a professional
- B.
The corporate standards of behavior expected of a professional
- C.
The personal and corporate standards of behavior expected of a professional
- D.
The corporate standards of behavior expected of a professional
Correct Answer
C. The personal and corporate standards of behavior expected of a professionalExplanation
Professional Ethics encompasses both the personal and corporate standards of behavior expected of a professional. This means that professionals are expected to adhere to a set of ethical guidelines not only in their personal conduct but also in their professional or corporate behavior. This includes maintaining honesty, integrity, and professionalism in all aspects of their work, as well as upholding the values and principles of their organization or profession. By combining personal and corporate standards, professionals are held accountable for their actions both individually and within the context of their professional roles.Rate this question:
-
- 15.
Business Ethics refers to a written set of guidelines by an organization to help its
- A.
Employees
- B.
Management
- C.
Employees, Management & Directors
- D.
Employees, Management, with the exclusion of Directors
- E.
To conduct their actions in accordance with its primary values and ethical standards
Correct Answer
C. Employees, Management & DirectorsExplanation
Business Ethics refers to a written set of guidelines by an organization that is applicable to all employees, management, and directors. These guidelines are designed to ensure that all individuals within the organization conduct their actions in accordance with the organization's primary values and ethical standards. By including employees, management, and directors in the answer, it acknowledges that all levels of the organization are expected to adhere to these ethical guidelines.Rate this question:
-
- 16.
The basic principles underlying ethical conduct of individuals and professionals are ------------- in number:
- A.
       7
- B.
       5
- C.
   4
- D.
   6
Correct Answer
B. Â Â Â Â Â Â Â 5Explanation
The basic principles underlying ethical conduct of individuals and professionals are typically categorized into five main principles. These principles include autonomy, justice, beneficence, nonmaleficence, and fidelity. Autonomy refers to respecting an individual's right to make their own decisions. Justice involves treating individuals fairly and equitably. Beneficence focuses on promoting the well-being and welfare of others. Nonmaleficence emphasizes the duty to do no harm. Lastly, fidelity pertains to being loyal, trustworthy, and keeping promises. These five principles serve as a foundation for ethical behavior in various personal and professional contexts.Rate this question:
-
- 17.
Customer Due Diligence procedures require:
- A.
One-off customer identification procedure at account opening stage
- B.
Periodic assessment of customers transaction history
- C.
Continuous update, monitoring, assessment and reports on i and ii above to management and regulatory authorities
- D.
None of the above
Correct Answer
C. Continuous update, monitoring, assessment and reports on i and ii above to management and regulatory authoritiesExplanation
Customer Due Diligence procedures require continuous update, monitoring, assessment, and reports on the one-off customer identification procedure at the account opening stage and the periodic assessment of the customer's transaction history to both management and regulatory authorities. This means that the process of verifying the customer's identity and assessing their transaction history should not be a one-time event but should be ongoing to ensure compliance with regulations and to identify any potential risks or suspicious activities. Regular updates, monitoring, and assessments are necessary to maintain the integrity of the customer due diligence process.Rate this question:
-
- 18.
The least number of identifiable possible ethical threats that a professional has to face in a well-structured firm are:
- A.
        5
- B.
        3
- C.
       4
- D.
    2
Correct Answer
A. Â Â Â Â Â Â Â Â 5Explanation
In a well-structured firm, professionals are likely to face a variety of ethical threats. These threats can include conflicts of interest, pressure to compromise ethical standards, lack of transparency, and unethical behavior by colleagues or superiors. The higher the number of ethical threats, the more challenging it can be for professionals to navigate these situations and make ethical decisions. Therefore, the least number of identifiable possible ethical threats that a professional has to face in a well-structured firm would be 5.Rate this question:
-
- 19.
The NSE is a government organization
- A.
True
- B.
False
- C.
Not Sure
- D.
Perhaps
Correct Answer
B. FalseExplanation
The statement "The NSE is a government organization" is false because the NSE, which stands for National Stock Exchange, is not a government organization. It is a private company that operates as a stock exchange in India. The NSE was established in 1992 and is regulated by the Securities and Exchange Board of India (SEBI), which is a government regulatory body. However, the NSE itself is not directly controlled or owned by the government.Rate this question:
-
- 20.
CSR stands for?
- A.
Corporate Social Responsibility
- B.
Corporation of Society Responsibility
- C.
Corporate Social Relationship
- D.
Composition of Social Relations
Correct Answer
A. Corporate Social ResponsibilityExplanation
CSR stands for Corporate Social Responsibility. This term refers to a company's commitment to manage its business activities in an ethical and sustainable manner that contributes positively to society. It involves taking responsibility for the company's impact on the environment, employees, customers, communities, and other stakeholders. By engaging in CSR practices, companies aim to go beyond profit-making and make a positive difference in society.Rate this question:
-
- 21.
What type of events do we coordinate in Corporate communications department?
- A.
Bell ringing only
- B.
Bell ringing and Facts behind the listing
- C.
Closing Gong Ceremony, Facts Behind the Listing, Fact Behind the Figures, conferences
- D.
Trade Fair, Closing Gong Ceremony, fact behind the figures, fact behind the listing, conferences, investors clinics
Correct Answer
D. Trade Fair, Closing Gong Ceremony, fact behind the figures, fact behind the listing, conferences, investors clinicsExplanation
The correct answer is Trade Fair, Closing Gong Ceremony, fact behind the figures, fact behind the listing, conferences, investors clinics. This answer suggests that the Corporate communications department coordinates a variety of events including Trade Fairs, Closing Gong Ceremonies, conferences, and investors clinics. Additionally, they also focus on providing information about the facts behind the figures and the listing of the company.Rate this question:
-
- 22.
Oscar Onyema is the______ of The Nigeria Stock Exchange
- A.
 Executive Director
- B.
   CEO
- C.
DG
- D.
 Manager
- E.
Senior Vice President
Correct Answer
B. Â Â Â CEOExplanation
Oscar Onyema is the CEO of The Nigeria Stock Exchange.Rate this question:
-
- 23.
The following are the roles of Corporate Communications except
- A.
Communicate clearly and effectively the Brand Essence and Promise to internal and external stakeholders
- B.
Establish The NSE as the CSR/Sustainability facilitator of the Nigerian capital market by developing and implementing CSR initiatives
- C.
Drive brand/product awareness and engagement through traditional and digital capabilities
- D.
Examine The NSE operational processes
Correct Answer
D. Examine The NSE operational processesExplanation
The given answer, "Examine The NSE operational processes," is the correct answer because it does not align with the roles of Corporate Communications. Corporate Communications is primarily responsible for communicating the brand essence and promise, establishing CSR initiatives, and driving brand/product awareness and engagement. Examining operational processes is typically the responsibility of other departments such as Operations or Quality Assurance.Rate this question:
-
- 24.
What is Asset Co-mingling?
- A.
Mixing up many investors account
- B.
Mixing up all proprietary accounts
- C.
Mixing up all proprietary and clients’ assets
- D.
Mixing up all proprietary and clients’ shares
Correct Answer
C. Mixing up all proprietary and clients’ assetsExplanation
Asset co-mingling refers to the practice of mixing together the assets of a company or organization with those of its clients. This means that both the proprietary assets (belonging to the company or organization) and the assets owned by clients are combined and treated as a single pool of assets. This can often occur in financial institutions or investment firms where client funds are managed alongside the company's own funds. The purpose of asset co-mingling is to streamline operations and potentially increase efficiency, but it also carries certain risks, such as potential conflicts of interest or difficulties in accurately tracking and allocating assets.Rate this question:
-
- 25.
Describe what reconstruction is?
- A.
Increasing share volume/value
- B.
Decreasing share value/volume
- C.
Increasing/decreasing share volume/value
- D.
None of the above
Correct Answer
C. Increasing/decreasing share volume/valueExplanation
Reconstruction refers to the process of increasing or decreasing the share volume or value. It involves making changes to the structure or composition of a company's shares in order to improve its financial position or meet specific objectives. This can include actions such as stock splits, reverse stock splits, share buybacks, or issuing new shares. By increasing or decreasing the share volume or value, a company can potentially attract more investors, increase liquidity, or adjust its capital structure. Therefore, the correct answer is "Increasing/decreasing share volume/value."Rate this question:
-
- 26.
Describe the concept of DVP
- A.
Delivery versus pay back
- B.
Deliver versus protect
- C.
Delivery versus payment
- D.
Simultaneous delivery versus payment
Correct Answer
D. Simultaneous delivery versus paymentExplanation
Simultaneous delivery versus payment (DVP) is a concept in finance and securities trading where the delivery of securities and the payment for them occur simultaneously. In this process, the buyer's payment is only made once the seller has delivered the securities, ensuring a secure and efficient transaction. DVP is commonly used in stock exchanges and other financial markets to minimize counterparty risk and ensure that both parties fulfill their obligations in a synchronized manner.Rate this question:
-
- 27.
Mr. A has two (2) children, B, and C, and he intends to cross his shares to his two (2) children without passing through the floor of the Exchange. What is the mode of this transaction called?
- A.
Cross deal
- B.
OTC extra
- C.
Call over system
- D.
Nominal transfer
Correct Answer
D. Nominal transferExplanation
The mode of this transaction is called "Nominal transfer". This refers to the transfer of shares from one person to another without involving any actual payment or exchange of money. In this case, Mr. A intends to transfer his shares to his two children, B and C, without going through the floor of the Exchange, indicating that it is a nominal transfer rather than a formal transaction on the stock exchange.Rate this question:
-
- 28.
Clearing House Numbers and investors’ numbers are one and the same for the investors. Do you agree?
- A.
True
- B.
False
- C.
Not sure
Correct Answer
B. FalseExplanation
The statement is false because Clearing House Numbers and investors' numbers are not the same. Clearing House Numbers are unique identification numbers assigned to each clearing house, whereas investors' numbers are unique identification numbers assigned to individual investors. These numbers serve different purposes and are used for different transactions and record-keeping purposes.Rate this question:
-
- 29.
The Index is useful for:
- A.
Performance Benchmarking
- B.
Measuring Economic performance
- C.
To forecast
- D.
All of the above
- E.
None of the Above
Correct Answer
D. All of the aboveExplanation
The Index is useful for performance benchmarking because it provides a standard against which the performance of a particular entity can be compared. It is also useful for measuring economic performance as it can indicate the overall health and growth of an economy. Additionally, the Index can be used to forecast future trends and developments based on the data and indicators it includes. Therefore, the correct answer is "All of the above."Rate this question:
-
- 30.
The NSE Index includes which of the following in the computation
- A.
Preference shares
- B.
Bonds
- C.
Equities
- D.
All of the above
- E.
None of the Above
Correct Answer
C. EquitiesExplanation
The NSE Index includes equities in its computation. Equities refer to shares or stocks that represent ownership in a company. Including equities in the index calculation allows for the representation of the overall performance of the stock market. Preference shares and bonds are not included in the computation of the NSE Index.Rate this question:
-
- 31.
One of the following statements is not correct. Which one?
- A.
Sample-based Indices are composed of all the highly capitalized and perhaps the most profitable companies spread across key sectors of the economy.
- B.
Indices cannot be constructed for individual portfolios
- C.
The phenomenon of indexes based on few stocks is widely accepted
- D.
Ease of conversion to cash and vice versa is important in stock selection into
- E.
None of the Above
Correct Answer
B. Indices cannot be constructed for individual portfoliosExplanation
The given statement "Indices cannot be constructed for individual portfolios" is not correct. Indices can be constructed for individual portfolios as well, based on the specific stocks included in the portfolio. This allows investors to track the performance of their own portfolios compared to a benchmark index.Rate this question:
-
- 32.
One of the following statements is true. Which one?
- A.
DJIA is an All-share Index
- B.
Sample size must be very large to construct an index
- C.
Divisor adjustments are undertaken when bonuses are issued
- D.
The NSE 30 Index is composed of all the highly capitalized and perhaps the most profitable companies spread across key sectors of the economy.
- E.
None of the Above
Correct Answer
D. The NSE 30 Index is composed of all the highly capitalized and perhaps the most profitable companies spread across key sectors of the economy.Explanation
The correct answer is The NSE 30 Index is composed of all the highly capitalized and perhaps the most profitable companies spread across key sectors of the economy. This statement accurately describes the composition of the NSE 30 Index, which is an index that represents the performance of the top 30 companies listed on the Nigerian Stock Exchange. These companies are selected based on their market capitalization and profitability, and they are spread across various sectors of the economy. This index is used as a benchmark to track the overall performance of the Nigerian stock market.Rate this question:
-
- 33.
One of the following statements is incorrect in a Bear Market
- A.
A period of positive returns in the broader market of between 6-10 percent
- B.
A period in which investment prices rises
- C.
It must occur within six months of the year
- D.
It occurs when unemployment is low and inflation is slowing down
- E.
None of the above
Correct Answer
E. None of the aboveExplanation
None of the above statements is incorrect in a Bear Market. In a bear market, there is generally a period of negative returns in the broader market, investment prices tend to fall, there is no specific time frame within which it must occur, and it can happen regardless of the state of unemployment and inflation. Therefore, all the statements given are correct and there is no incorrect statement in a bear market.Rate this question:
-
- 34.
Why is backing up data files important?
- A.
Backup up data is not necessary for a user
- B.
Backing up data is the work of the IT Administrator
- C.
Backups ensure that the information you need is there when you need it especially during disaster
Correct Answer
C. Backups ensure that the information you need is there when you need it especially during disasterExplanation
Backing up data is important because it ensures that the information you need is available when you need it, particularly in the event of a disaster. Disasters such as hardware failure, data corruption, accidental deletion, or even natural disasters like fires or floods can result in the loss of important data. By regularly backing up data files, you can restore them in case of such incidents, minimizing downtime and preventing loss of critical information. It is not solely the responsibility of the IT Administrator, but also necessary for individual users to back up their own data to protect against any unforeseen circumstances.Rate this question:
-
- 35.
What should you do if you see a stranger walking in the halls of your building?
- A.
Visitors will always find their ways around offices
- B.
Do not be distracted by visitors around or in your office
- C.
Always escort visitors. Have them wait in lobby for you and escort them back when your business is completed.
Correct Answer
C. Always escort visitors. Have them wait in lobby for you and escort them back when your business is completed.Explanation
The correct answer is to always escort visitors, have them wait in the lobby, and escort them back when your business is completed. This ensures the safety and security of both the visitor and the people in the building. By escorting visitors, you can monitor their movements and prevent any unauthorized access or potential threats. It also helps to maintain a professional and controlled environment within the building.Rate this question:
-
- 36.
When constructing a password, you should:
- A.
You should use your family member name, sports name, pet name and add a number on the end
- B.
Use phrases or misspelled words with embedded numbers and special characters
- C.
Use sequenced letters and numbers from your keyboard
- D.
All of the above
Correct Answer
B. Use phrases or misspelled words with embedded numbers and special charactersExplanation
Using phrases or misspelled words with embedded numbers and special characters is the correct approach when constructing a password. This method helps to create a strong and unique password that is difficult for hackers to guess or crack. It is important to avoid using easily guessable information such as family member names, sports names, or pet names, as these can be easily obtained by attackers through social engineering or online research. Sequenced letters and numbers from the keyboard can also be easily guessed or cracked by automated password cracking tools. Therefore, the best practice is to use a combination of phrases, misspelled words, numbers, and special characters to enhance the password's strength and security.Rate this question:
-
- 37.
What should you do if someone asks you for your password
- A.
If it is your boss give your password to him/her
- B.
You can share your password and possibly change it later
- C.
Always says NO, and report the event as an incident
Correct Answer
C. Always says NO, and report the event as an incidentExplanation
Sharing your password with someone, even if it is your boss, is not a recommended practice for maintaining cybersecurity. It is important to always say no and report such incidents because sharing passwords can compromise the security of your personal information, accounts, and the overall network. By reporting the event, appropriate actions can be taken to investigate and prevent any potential security breaches or unauthorized access.Rate this question:
-
- 38.
When sending or forwarding email you should make sure that it does not:
- A.
Create a chain mail situation
- B.
Have an attachment file
- C.
Follow general business practices
- D.
All of the above
Correct Answer
A. Create a chain mail situationExplanation
When sending or forwarding email, it is important to ensure that it does not create a chain mail situation. Chain mail refers to emails that are forwarded to multiple recipients, often with a request to pass it along to others. These types of emails can quickly become annoying and overwhelming for recipients. Therefore, it is best to avoid creating a chain mail situation by not forwarding such emails and instead focusing on relevant and necessary communication.Rate this question:
-
- 39.
The Registrar is a professional who operates in
- A.
The money market
- B.
The supper market
- C.
The capital market
- D.
Oyingbo market
- E.
The banks
Correct Answer
C. The capital marketExplanation
The correct answer is the capital market. The Registrar is a professional who operates in the capital market. This market is where long-term securities such as stocks and bonds are bought and sold. The Registrar's role in the capital market involves maintaining records of shareholders, managing the transfer of securities, and ensuring compliance with regulatory requirements. They play a crucial role in facilitating transactions and maintaining the integrity of the capital market.Rate this question:
-
- 40.
A Probate Letter is
- A.
A letter from a friend
- B.
A letter of guarantee from a bank
- C.
A legal document on a deceased estate who left behind a Will
- D.
A love letter
- E.
A letter showing details of a probe
Correct Answer
C. A legal document on a deceased estate who left behind a WillExplanation
A probate letter is a legal document that pertains to the estate of a deceased individual who has left behind a will. It is used to validate and administer the distribution of the deceased person's assets and property according to their stated wishes. This letter serves as evidence of the deceased person's will and is typically issued by the court or a legal representative.Rate this question:
-
- 41.
Unclaimed dividends are caused by one of the under listed or all of them
- A.
Failure of Registrars to update their clients registers
- B.
Ignorance of shareholders
- C.
Failure of the postal system
- D.
All of the above
Correct Answer
D. All of the aboveExplanation
The correct answer is "All of the above" because unclaimed dividends can be caused by any or all of the listed reasons. If the registrars fail to update their clients' registers, shareholders may not receive their dividends. Similarly, if shareholders are unaware of their entitlements or fail to claim them, the dividends remain unclaimed. Additionally, if the postal system fails to deliver the dividend checks or notifications, shareholders may not receive their dividends. Therefore, all the mentioned factors contribute to the occurrence of unclaimed dividends.Rate this question:
-
- 42.
Which of the following  is not a function of Registrars
- A.
Preparing of annual reports for client companies
- B.
B. Dividend payments
- C.
C. Posting of annual reports
- D.
D. Keeping of unclaimed dividends accounts
Correct Answer
A. Preparing of annual reports for client companiesExplanation
Registrars are responsible for maintaining and updating the register of shareholders, ensuring accurate records of ownership and transfers of shares. They also handle dividend payments, which involve distributing profits to shareholders. Additionally, registrars are responsible for posting annual reports to shareholders, providing them with important financial information. Lastly, registrars are involved in keeping track of unclaimed dividends accounts, ensuring that shareholders receive their rightful payments. However, preparing annual reports for client companies is not a function of registrars. This task typically falls under the responsibility of the company's management or accounting department.Rate this question:
-
- 43.
Why are registrars considered so important in the capital market
- A.
They are supper humans
- B.
They are very kind
- C.
They answer all shareholders
- D.
All transactions are verified by Regiatrars
Correct Answer
D. All transactions are verified by RegiatrarsExplanation
Registrars are considered important in the capital market because they play a crucial role in verifying all transactions. They ensure that the buying and selling of securities are accurately recorded and that the ownership of these securities is properly transferred. By verifying transactions, registrars help maintain the integrity and transparency of the capital market, which is essential for investor confidence.Rate this question:
-
- 44.
The following are objectives of Market Regulation except:
- A.
To avoid agency problem
- B.
To prevent manipulation of market prices by unscrupulous individuals
- C.
To build great business entities
- D.
To make life easy
Correct Answer
D. To make life easyExplanation
The objective of market regulation is to ensure fair and efficient functioning of the market, protect investors, and maintain market integrity. It aims to prevent manipulation of market prices and avoid agency problems. However, the objective of market regulation is not to make life easy. Instead, it focuses on creating a level playing field and promoting transparency in the market.Rate this question:
-
- 45.
Which of these does not include units of the Listings Regulation Department
- A.
Listings Analysis
- B.
Listings Compliance
- C.
Listings Sales and Retention
- D.
Listings enforcement
Correct Answer
C. Listings Sales and RetentionExplanation
Listings Sales and Retention does not include units of the Listings Regulation Department. The other options, Listings Analysis, Listings Compliance, and Listings Enforcement, are all related to the regulatory functions of the department. However, Listings Sales and Retention is more focused on the commercial aspects of listings and does not directly involve regulatory activities.Rate this question:
-
- 46.
Which of the following units is responsible for receiving applications for the new issues?
- A.
Listings Analysis
- B.
Listings Compliance
- C.
Listings Sales and Retention
- D.
Listings enforcement
Correct Answer
A. Listings AnalysisExplanation
Listings Analysis is responsible for receiving applications for new issues. This unit is likely in charge of reviewing and analyzing the applications received, ensuring they meet the necessary requirements and guidelines. They may also be responsible for conducting market research and evaluating the potential success of the new issues.Rate this question:
-
- 47.
What is the importance of the newly introduced Issuers Portal?
- A.
To accept application for new issues
- B.
To enable issuers file annual returns and corporate actions
- C.
To allow brokers trade on securities from the diaspora
- D.
To allow brokers trade securities from within Nigeria
Correct Answer
B. To enable issuers file annual returns and corporate actionsExplanation
The newly introduced Issuers Portal is important because it allows issuers to file their annual returns and corporate actions. This means that issuers can easily submit the necessary documentation and information related to their financial performance and corporate activities. This portal streamlines the process and ensures that issuers can fulfill their legal obligations in a timely and efficient manner. By providing a centralized platform for filing annual returns and corporate actions, the Issuers Portal helps to improve transparency, accountability, and compliance in the securities market.Rate this question:
-
- 48.
The following are the nine stages of Quotation:
- A.
Application/Packaging Stage
- B.
NSE Quotations Approval/SEC Registration Stage
- C.
Brokers Dealer engagement
- D.
Completion Board Meeting Stage
Correct Answer
C. Brokers Dealer engagementExplanation
The correct answer is "Brokers Dealer engagement". This stage refers to the involvement of brokers and dealers in the quotation process. Once the application and packaging stage is completed, the next step is to engage brokers and dealers who will facilitate the buying and selling of securities. This stage ensures that the necessary parties are involved in the quotation process and that the securities can be traded effectively in the market.Rate this question:
-
- 49.
How many Boards do we have on the NSE?
- A.
4
- B.
2
- C.
3
- D.
1
Correct Answer
C. 3Explanation
There are three boards on the NSE.Rate this question:
-
- 50.
Which of the following best describes the functions of the LSR Department?
- A.
Decrease the number of listings on the various boards & manage existing listed companies
- B.
Managing existing non-listed companies and increase number of listings
- C.
Proffering solutions to the needs of prospect companies & increase the number of listings on the various boards
- D.
Increase the number of listings on the various boards & manage existing listed companies
Correct Answer
D. Increase the number of listings on the various boards & manage existing listed companiesExplanation
The LSR Department is responsible for both increasing the number of listings on the various boards and managing the existing listed companies. This means that they work towards attracting new companies to list on the boards and also ensure the smooth functioning and management of the companies that are already listed.Rate this question:
-
- Accounting Quizzes
- Advertising Quizzes
- Agriculture Quizzes
- Automotive Quizzes
- Brand Quizzes
- Business Accounting Quizzes
- Business Analyst Quizzes
- Business Development Quizzes
- Business Environment Quizzes
- Business Etiquette Quizzes
- Business Finance Quizzes
- Business Math Quizzes
- Business Organization Quizzes
- Business Plan Quizzes
- Business Process Quizzes
- Business Study Quizzes
- Business Technology Quizzes
- CEO Quizzes
- Collaboration Quizzes
- Company Quizzes
- Construction Quizzes
- Consumer Quizzes
- CSR Quizzes
- Customer Quizzes
- Customer Service Quizzes
- Development Quizzes
- Ecommerce Quizzes
- Employment Quizzes
- Entrepreneurship Quizzes
- Hospitality Quizzes
- Human Resources Quizzes
- Industry Quizzes
- International Business Quizzes
- Introduction To Business Quizzes
- Investment Quizzes
- Logistics Quizzes
- Management Quizzes
- Manufacturing Quizzes
- Marketing Quizzes
- Material Quizzes
- Media Quizzes
- Office Quizzes
- Organization Quizzes
- Principles Of Business Quizzes
- Printing Quizzes
- Product Quizzes
- Publishing Quizzes
- Real Estate Quizzes
- Retail Quizzes
- Sales Quizzes
- SAP Business One Quizzes
- Small Business Quizzes
- Source Quizzes
- Supply Quizzes
- Survey Quizzes
- Telecommunication Quizzes
- Training Quizzes
- Transportation Quizzes
- Warehouse Quizzes
- Welding Quizzes
Back to top