NISM 21 A : PMS Exam Mock Test

Overview of NISM 21 A PMS Distributors Exam

The NISM 21 A exam, also known as the PMS Distributors Exam, is a certification required for agents looking to sell Portfolio Management Services (PMS) to clients. This certification is also referred to by various names, such as:

• PMS Exam
• NISM XXI A
• PMS Certification
• NISM 21A
• NISM PMS Certification
• PMS Distributors Exam
• NISM PMS Mock Test
• NISM Portfolio Management Exam
• PMS Certificate
• NISM PMS Exam

Choosing Between NISM Portfolio Management Services Certifications

NISM offers two key exams under its Portfolio Management Services Certification:

1. PMS Distributors (NISM 21A): This certification is designed for agents and sales professionals involved in selling PMS to clients.
2. Portfolio Managers (NISM 21B): This certification is targeted towards professionals responsible for managing clients’ portfolios, focusing on trading and investments.

Key Details about the PMS Distributors Exam

The PMS Distributors Exam (NISM 21A), also known as the NISM XXI A exam, is essential for those interested in distributing PMS products. The certification validates the knowledge and expertise required to effectively sell PMS services.

For Portfolio Managers: Those responsible for managing client portfolios should opt for the NISM 21B exam, also referred to as the Portfolio Managers Certification Exam or NISM XXI B.

How to Prepare for the NISM PMS Distributors Exam

If you’re preparing for the NISM PMS Distributors Exam, here’s how you can get started:

• NISM Mock Tests: You can take free mock tests for the NISM PMS Distributors Exam on our website.
• Training Resources: We offer comprehensive training to help you prepare for the exam.
• Exam Dates: Check the latest NISM PMS Distributors Exam dates, locations, and time slots here.

NISM Exam Registration Process

To register for the NISM PMS Distributors Exam, follow the NISM exam registration procedure provided on the official website.

NISM 21 A PMS Distributors Exam Syllabus Outline

The NISM PMS Distributors Exam syllabus is structured into several units, each with assigned weightage:

1. Investments – 5%
2. Introduction to Securities Markets – 3%
3. Investing in Stocks – 8%
4. Investing in Fixed Income Securities – 8%
5. Derivatives – 5%
6. Mutual Funds – 5%
7. Role of Portfolio Managers – 13%
8. Operational Aspects of Portfolio Managers – 13%
9. Portfolio Management Process – 13%
10. Performance Measurement and Evaluation of Portfolio Managers – 13%
11. Taxation – 5%
12. Regulatory, Governance, and Ethical Aspects of Portfolio Managers – 9%

Exam Pattern and Assessment Structure

The NISM PMS Distributors Exam consists of 80 multiple-choice questions and 3 case-based questions, distributed as follows:

• Multiple Choice Questions: 80 questions, 1 mark each, totaling 80 marks.
• Case-Based Questions:
  • 2 cases, with 5 questions each, 1 mark per question (10 marks total).
  • 1 case with 5 questions, 2 marks each (10 marks total).

The exam duration is 2 hours, with a passing score of 60%. Note that there is a negative marking of 25% of the marks assigned to each question.

Important Details for the Exam

• Fee: INR 1,770 (inclusive of GST). Additional payment gateway charges may apply.
• Negative Marking: 25% of the marks assigned to a question.
• Passing Certificate: Issued only to candidates who have updated their PAN (Permanent Account Number) in their registration details.

Detailed NISM 21 A Syllabus Overview

The exam covers various aspects of portfolio management services, including:

1. Investment Landscape: Understanding investment types, objectives, and channels.
2. Introduction to Securities Markets: Overview of primary and secondary markets, and key participants.
3. Investing in Stocks: Equity investment, risk diversification, and market analysis.
4. Investing in Fixed Income Securities: Bond valuation, price volatility, and duration.
5. Derivatives: Derivative products, market structure, and underlying concepts.
6. Mutual Funds: Structure, benefits, and key regulations governing mutual funds.
7. Role of Portfolio Managers: Responsibilities, registration, and organizational structure of portfolio management services.
8. Operational Aspects of Portfolio Managers: Client onboarding, disclosures, and grievance redressal.
9. Portfolio Management Process: Asset allocation, portfolio rebalancing, and management steps.
10. Performance Measurement and Evaluation: Risk and return measures, benchmarking, and due diligence.
11. Taxation: Tax implications for investors and portfolio managers.
12. Regulatory, Governance, and Ethical Aspects: Key regulations and ethical practices for portfolio managers.