PracticeVideosBlogFlashcards
All Practice Exams

Free Practice Questions for NISM Series XXV-A

Exam-style questions and explanations by OpenExamPrep.

✓ No registration✓ No credit card
130+ Questions
100% Free

Loading practice questions...

Same family resources

Explore More NISM Certifications (India)

Continue into nearby exams from the same family. Each card keeps practice questions, study guides, flashcards, videos, and articles in one place.

NISM Series XXV-B Persons Associated with Investment Advice

Practice Questions159 questionsStudy Guide34 topicsCheat Sheet56 factsFlashcards50 cardsGames20 termsFeedVideos1 videoBlogs1 blog

NISM-Series-V-A: Mutual Fund Distributors Certification Examination

Practice Questions140 questionsStudy Guide75 topicsCheat Sheet154 factsFlashcards50 cardsFeed

NISM Series I Currency Derivatives

Practice Questions100 questionsFeed

NISM Series II-A Registrars and Transfer Agents (Corporate)

Practice Questions100 questionsFeed

NISM Series II-B Registrars and Transfer Agents (Mutual Fund)

Practice Questions100 questionsFeed

NISM Series III-A Securities Intermediaries Compliance (Non-Fund)

Practice Questions100 questionsFeed

More From This Family

Videos and articles for deeper review.

VideoNISM Series XXV-A 2026: Exam Guide, SEBI Rules & Free Mock TestThis examArticleNISM Series XXV-A 2026: Exam Guide, SEBI Rules & Free Mock Test10 min read
Exam Review

Key Facts: NISM Series XXV-A Exam

50 Q

Exam Questions

NISM Official Syllabus

60 Min

Exam Duration

NISM Official Syllabus

50%

Passing Score

NISM Official Syllabus

₹1,500

Exam Fee

NISM Registration Portal

NISM Series XXV-A is a 50 MCQ, 60-minute certification exam with a 50% passing score and no negative marking.

Sample NISM Series XXV-A Practice Questions

Try these sample questions to review concepts for the NISM Series XXV-A exam. Each question includes a detailed explanation. Start the interactive quiz above for the full 130+ question experience with AI tutoring.

1Which task fits a sales employee whose role is limited to the non-core research services covered by NISM Series XXV-A?
A.Explaining an approved research report to a subscriber
B.Selecting the valuation assumptions for a new report
C.Changing a published rating after a company announcement
D.Signing an original recommendation for public distribution
Explanation: The non-core role includes communicating approved research and handling client queries. PARS is a broader regulatory term that also includes research-facing personnel; XXV-A specifically covers sales and other non-core roles.
2Which statutory regulator governs registration of Research Analysts under India's Research Analysts Regulations?
A.Insurance Regulatory and Development Authority of India
B.Reserve Bank of India
C.Securities and Exchange Board of India
D.Association of Mutual Funds in India
Explanation: SEBI administers the Research Analysts regulatory framework. NISM certification is a knowledge qualification and is distinct from SEBI registration.
3A client asks about contracts whose value depends on an equity index rather than direct ownership of its constituent shares. Which market segment is relevant?
A.Equity cash market
B.Financial derivatives market
C.Corporate bond market
D.Money market
Explanation: Futures and options are derivatives whose value is linked to an underlying asset or index. Buying such a contract is different from directly owning its underlying shares.
4Which institution maintains securities holdings in electronic form through accounts serviced by depository participants?
A.Merchant banker
B.Stock exchange
C.Clearing corporation
D.Securities depository
Explanation: A depository maintains dematerialized securities records, with depository participants serving investors. This function is distinct from matching trades and guaranteeing settlement.
5Compare a plain fixed-rate corporate bond with ordinary equity. Which statement correctly distinguishes their investor claims?
A.Both entitle the investor only to dividends declared from profits
B.The bond gives ordinary-share voting rights; equity promises contractual interest
C.The bond carries contractual debt payments; equity represents a residual ownership claim
D.The bondholder ranks behind ordinary shareholders in a claim on liquidation proceeds
Explanation: A plain corporate bond is a debt claim with contractual payment obligations, subject to default risk. Ordinary shares represent ownership and a residual claim after creditors; ordinary dividends are not equivalent to promised bond interest.
6A client asks a non-core sales employee to raise a published target price to reflect fresh market news. What should the employee do?
A.Refer the news to the analyst and retain the published target meanwhile
B.Increase the target in the client summary and retain the report attachment
C.Use a different target verbally while leaving the written report unchanged
D.Obtain the sales manager's approval to publish a replacement target
Explanation: A sales employee should refer potentially material news for an authorized research update. The current report can be explained accurately, with its date and limitations, without inventing a revised target.
7After an exchange trade, which institution typically becomes the central counterparty and manages settlement risk?
A.Securities depository
B.Stock exchange trading platform
C.Research Analyst Administration and Supervisory Body
D.Recognized clearing corporation
Explanation: A clearing corporation undertakes central-counterparty clearing and settlement functions. Margins and other safeguards manage counterparty exposure; they do not make the financial system free of every risk.
8A company needs an intermediary to manage its public securities issue. Which role is most directly relevant?
A.Portfolio manager
B.Merchant banker
C.Depository participant
D.Securities custodian
Explanation: Merchant bankers perform issue-management functions in the primary market. Other intermediaries may participate in an issue, but their involvement does not make them the issue manager.
9Which risk is directly reduced by replacing physical share certificates with dematerialized holdings?
A.Loss or forgery of paper share certificates
B.A decline in the issuer's earnings
C.Difficulty finding a buyer for an illiquid share
D.A fall in the market value of the holding
Explanation: Dematerialization removes the need to hold and deliver paper share certificates. It does not protect investors against business losses, price declines or an illiquid market.
10A report gives a ₹450 target for a stock priced at ₹360. A client calls the implied price increase a guaranteed return. Which response is accurate?
A.The implied increase is 20%, with achievement subject to the report's assumptions
B.The implied increase is 25%, and publication fixes the eventual selling price
C.The implied increase is 25%, but the target is an estimate, not a guarantee
D.The implied increase is 125%, excluding any dividends or transaction costs
Explanation: The implied price increase is (450 − 360) / 360 × 100 = 25%. A target expresses an estimate under the report's assumptions and horizon; the market price may never reach it.

About the NISM Series XXV-A Exam

The NISM Series XXV-A Certification Examination aims to establish a common minimum knowledge benchmark for persons associated with research services in sales and other non-core roles.

Exam sponsor: NISM. The requirements and fees below concern the certification or admission exam, separate from our free practice resources.

Assessment

50 MCQs of 1 mark each. No negative marking.

Time Limit

60 minutes

Passing Score

50% (25 out of 50)

Exam / Certification Fees

₹1,500

Exam sponsor website

Reported exam pass rate: Not published by NISM. The official 50% figure is the passing-score threshold, not a candidate pass rate. Exam sponsor website

Fees, eligibility, and exam policies can change. Confirm them with the exam sponsor before applying or paying.

Our practice resources: topics covered

We aim to reflect publicly available exam outlines and topic information in our study resources. Coverage, format, and difficulty may differ from the actual exam, and we cannot guarantee that every detail is accurate or current. Confirm exam requirements, fees, and policies with the official exam sponsor.

10%

Introduction to Research Analysis Profession and Securities Markets

Overview of research services and basics of Indian securities markets.

10%

Fundamentals of Research, Market Terminologies and Market Analysis

Market terminologies, data sources, and economic indicators.

14%

Risk and Return Fundamentals

Systematic and unsystematic risk, diversification, and portfolio basics.

16%

Research Reporting, Ethics, and Regulatory Environment

SEBI Research Analyst regulations, reporting standards, ethics, and disclosures.

30%

Client Interaction and Relationship Skills

Communication, negotiation, objection handling, and relationship management.

20%

Professional Efficiency, Development, and Tools

Professional standards, tools, and supporting research analysts.

Preparing for the NISM Series XXV-A Exam

What You Need to Know

  • Passing score: 50% (25 out of 50)
  • Assessment: 50 MCQs of 1 mark each. No negative marking.
  • Time limit: 60 minutes
  • Exam / certification fees: ₹1,500 Official sources

Using Our Practice Resources

  • Work through all 130 available questions
  • Review every answer and explanation
  • Track weak areas and revisit them
  • Use our AI tutor for tough concepts

NISM Series XXV-A: Suggested Study Strategy

1Understand the role boundaries of sales and marketing personnel compared to Core Research Analysts.
2Focus heavily on Client Interaction and Relationship Skills, which carries 30% weight in the exam.
3Study the SEBI (Research Analysts) Regulations, 2014, including disclosure requirements and code of conduct.
4Get comfortable with basic financial calculations and concepts of systematic and unsystematic risk.
5Practice simulated tests under a 60-minute time limit to build speed and accuracy.

Frequently Asked Questions

What is the NISM Series XXV-A exam?

It is a certification exam for persons associated with research services in non-core roles like sales, marketing, and client support.

Is there negative marking in the NISM XXV-A exam?

No, there is no negative marking in the NISM Series XXV-A examination.

What is the passing score for NISM Series XXV-A?

The passing score is 50% (25 marks out of 50 total marks).

What is the validity of the NISM XXV-A certificate?

The certificate is valid for a period of 3 years from the date of passing the examination.

What is the registration fee for NISM Series XXV-A?

The registration fee is ₹1,500 plus payment gateway charges (NISM XXV-A exam page).