Best NISM NISM-Series-VII Dumps [2026] With Real Exam Questions

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| Section | Objectives |
|---|
| Risk Management | - Risk management in a securities broking firm
- 1. Identifying and mitigating risks
- 2. Compliance and control measures
|
| Trade Life Cycle | - Steps and participants involved in the trade life cycle
- 1. Clearing and settlement process
- 2. Role of the back office in a securities broking firm
|
| Securities Broking Operations | - Front Office, Middle Office and Back Office functions in a Securities Broking Firm
- 1. Trade execution
- 2. Risk management
- 3. Settlement processing
|
| Investor Grievance Redressal | - Process of investor grievances redressal
- 1. Procedures for handling complaints
- 2. Regulatory requirements
|
| Regulatory Framework | - Role of the Securities and Exchange Board of India (SEBI)
- 1. Regulatory oversight
- 2. Investor protection
|
| Indian Securities Market | - Overview of the Indian securities market
- 1. Different products traded
- 2. Various market participants and their roles
|
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NISM Series VII - Securities Operations and Risk Management Certification Sample Questions (Q37-Q42):
NEW QUESTION # 37
In the context of the Indian Money Market, issuers must adhere to specific credit rating requirements to issue Commercial Paper (CP).
What is the minimum credit rating required from a Credit Rating Agency (CRA) for the issuance of CPs?
- A. A2
- B. BBB
- C. A1
- D. A3
- E. AAA
Answer: D
Explanation:
A Commercial Paper (CP) is used by Indian corporates to raise short-term unsecured funds. According to RBI regulations, the minimum credit rating assigned by a Credit Rating Agency (CRA) for the issuance of CPs shall be 'A3' as per the rating symbol and definition prescribed by SEBI.
NEW QUESTION # 38
If an auction seller, who participated to fulfill a short delivery, fails to deliver the securities on the auction pay-in day, the deal is closed out. What is the specific pricing formula used to charge the defaulting auction seller in this instance?
- A. The price at which the auction offer was originally accepted plus a 5% penalty.
- B. The maximum price of the security recorded during the entire settlement cycle.
- C. Highest price prevailing on the Exchange on the auction day only.
- D. Highest price from trade day to close out day OR 20% over official closing price on the close out day, whichever is higher.
- E. Official closing price on the close out day plus the auction premium.
Answer: D
Explanation:
When the auction seller fails to deliver the securities on the auction pay-in day, the deal will be closed out at the highest price prevailing across the Exchange from the day on which the trade was originally executed till the day of closing out or 20 percent over the official closing price on the close out day whichever is higher.
NEW QUESTION # 39
Regarding the 'Default Waterfall' in the context of the Net Settlement mechanism for Cash and F&O segments, which of the following statements is correct?
- A. Default losses are covered solely by the Investor Protection Fund (IPF) in the case of net settlement defaults.
- B. Clearing Corporations continue to maintain segment-wise default waterfalls, and losses are computed on the basis of segment-wise obligations on a pro-rata basis.
- C. The Core Settlement Guarantee Fund (SGF) of the F&O segment is utilized first for any default arising from the net settlement obligation.
- D. The default waterfall is triggered only after liquidating the defaulting member's proprietary assets across all exchanges.
- E. Clearing Corporations create a unified single default waterfall covering both segments to match the merged settlement.
Answer: B
Explanation:
Clearing Corporations (CCs) shall continue to settle obligations on a net basis at the CM level. Further, CCs shall continue to maintain segment-wise default waterfalls, regardless of a single settlement across segments. The losses, if any, in case of default of a CM to CC shall be computed on the basis of the segment-wise obligation of CM to CC, on a pro-rata basis.
NEW QUESTION # 40
Based on the 'Cyber Security and Cyber Resilience Framework (CSCRF)' for Stock Brokers, which of the following correctly match the 'Cyber Resiliency Goals' with their definitions? (Select all that apply)
- A. Evolve: To change business functions and its supporting cyber capabilities to minimize adverse impacts of adversary attacks.
- B. Withstand: Restore business functions to the maximum extent subsequent to adversary attacks.
- C. Contain: Localise containment of crisis and isolate trusted functions from untrusted ones to continue business operations.
- D. Anticipate: Maintain a state of informed preparedness from adversary attacks.
- E. Recover: Continue essential business functions at times of adversary attacks.
Answer: A,C,D
Explanation:
The CSCRF defines the goals as follows: 'Anticipate' is maintaining informed preparedness. 'Withstand' is continuing essential business functions during attacks (Option B is incorrect as it describes Recover). 'Contain' is localizing the crisis. 'Recover' is restoring business functions (Option D is incorrect as it describes Withstand). 'Evolve' is changing functions to minimize adverse impacts.
NEW QUESTION # 41
Consider the following 'Sell' order book for a security. A new Buy Limit Order for 500 shares at a price of Rs. 121.50 is entered into the system.

Based on the price-time priority mechanism, how will this buy order be executed?
- A. The order will remain pending as the full quantity cannot be matched at a single price.
- B. 500 shares @ Rs. 121.50
- C. 50 shares @ 121.20, 100 shares @ 121.20, 200 shares @ 121.40, and 150 shares @ 121.50
- D. 150 shares @ 121.20, 200 shares @ 121.40, and 150 shares @ 121.50
- E. 200 shares @ 121.50, 200 shares @ 121.40, and 100 shares @ 121.20
Answer: C
Explanation:
The order matching is done on a price-time priority basis. The buy order matches with the best sell price first (lowest price). It matches 50 @ 121.20 (T 1), then 100 @ 121.20 (T2), then 200 @ 121.40 (T3). The remaining 150 shares are matched against the order at 121.50 (T4). The executed prices are the passive order prices (121.20, 121.40, 121.50).
NEW QUESTION # 42
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