LIC ADO 2019 – Financial Awareness Questions (Day – 85)

Dear Aspirants, LIC ADO is one of the most important exam in the competitive examination. LIC ADO mains exam consists of three sections i.e. Reasoning ability and Numerical Ability, General knowledge & Current affairs and Insurance & Financial Market Awareness. LIC ADO Insurance Awareness & Financial Market Awareness section comprises of 50 questions. LIC ADO Financial Awareness Questions 2019 play an important role in boosting up the score in mains examination and also helps in the interview. Here we are providing a new series of LIC ADO Financial Awareness Questions 2019. Aspirants can make use of this LIC ADO Financial Awareness Questions 2019, to improve score in the Insurance & Financial Market Awareness section.

[WpProQuiz 6681]

Click Here to take Free Mock Test For LIC ADO Prelims

 

1) Recently, __________ signed an agreement to provide $750 mn equivalent in INR long-term financing to electrify railway tracks in India.

a) AIIB

b) ADB

c) IMF

d) NDB

e) EBRD

2) RBI recently introduced revised voluntary retention route (VRR) scheme. It will have minimum retention period of ________.

a) 2 years

b) 3 years

c) 5 years

d) 6 years

e) None of the above

3) Which of the following countries has agreed to a $400 million deal under a swap arrangement to boost the island nation’s reserves?

a) Fiji

b) Sri Lanka

c) Indonesia

d) Maldives

e) None of the above

4) Investments through participatory notes in the domestic capital market rose to around ________ crore at the end of March 2019.

a) ₹66,000 crore

b) ₹78,000 crore

c) ₹55,000 crore

d) ₹92,000 crore

e) ₹1,57,000 crore

5) In terms of financial terminologies, what does ‘M’ in OSMOS stands for?

a) Monetary

b) Monitoring

c) Market

d) Money

e) Management

6) SEBI recently released a framework for innovation sandbox to promote security in the market. It will be governed by a body comprising of representatives from __________.

a) Bourses

b) Depositories

c) Qualified Registrar

d) Share Transfer Agents

e) All of the above

7) Under option contract, An Option to buy is called ______and option to sell is called ________.

a) Put option, Call option

b) Exercise option, Call option

c) Put option, Exercise Option

d) Call option, Put option

e) None of the above

8) Which of the following statements about External Commercial Borrowing (ECB) is/are not correct?

a) Supplier’s credit is a form of ECB.

b) It cannot be raised in Indian rupees.

c) Average maturity period for a minimum of 5 years is prescribed.

d) 1 & 2 only

e) 1 & 3 only

9) _______is used as a measure to compare the performance of different asset classes.

a) Bond index

b) Volatility Index

c) Date Index

d) Both a & c

e) None of the above

10) Which of the following is the purpose of issuing Certificates of Deposits?

a) Facilitate depositors to submit it as collateral for loans

b) Raise additional funds by financial institutions

c) Claiming insurance cover for deposits in banks

d) Authorizing financial entities to invest in government securities

e) None of the above

Answers :

1) Answer: b)

Asian Development Bank has signed an agreement to provide $750 mn equivalent in INR long-term financing to electrify railway tracks in India. It is the largest single non-sovereign loan committed by India to Indian Railway Finance Corporation (IRFC).

2) Answer: b)

Under the revised voluntary retention route (VRR) scheme, the minimum retention period will be three years. The investment limit is set at ₹54,606.55 crore, under the VRR-combined category, which allows investment in both government securities and corporate debt.

3) Answer: b)

Sri Lanka’s Central Bank and the Reserve Bank of India have agreed to a $400 million deal under a swap arrangement to boost the island nation’s reserves. This facility is to be made available under the SAARC SWAP facility.

4) Answer: b)

Investments through participatory notes in the domestic capital market rose to Rs 78,110 crore at the end of March, amid positive market sentiments. Participatory notes (P-notes) are issued by registered foreign portfolio investors (FPIs) to overseas investors who wish to be a part of the Indian stock market without registering themselves directly after going through a due diligence process.

5) Answer: b)

Off-site Surveillance & Monitoring System (OSMOS) was introduced in 1995 by the Reserve Bank of India (RBI). It is a system comprising a set of periodic returns. With the stabilisation of the reporting system, it has become a very important tool in regulation and supervision.

6) Answer: e)

Sandbox will be governed by a body comprising of representatives from the bourses, depositories and Qualified Registrar and Share Transfer Agents. Innovation Sandbox is a shared workspace to ideate, explore new subjects, develop technologies and share knowledge.

7) Answer: d)

An Option to buy is called Call option and option to sell is called Put option. Options Contract is a type of Derivatives Contract which gives the buyer/holder of the contract the right (but not the obligation) to buy/sell the underlying asset at a predetermined price within or at end of a specified period.

8) Answer: b)

ECB can be raised in Indian Rupees (INR) and / or any convertible currency. Any entity raising INR denominated ECB is not permitted to convert the liability arising out of this ECB into foreign currency liability in any manner.

9) Answer: a)

A bond index is used to measure the performance of bond markets. The index is used as a benchmark against which investment managers measure their performance. It is also used as a measure to compare the performance of different asset classes.

10) Answer: b)

The certificate of deposit indicates that the investor has deposited a sum of money for specified period of time and at a specified rate of interest. It is issued by commercial banks and financial institutions for the purpose of raising additional funds.

 

0 0 votes
Rating
guest
0 Comments
Inline Feedbacks
View all comments