( 180+ Best ) Investment Management MCQ

Investment Management MCQ

Definition Of Investment Management

Investment management refers to the handling of financial assets and other investments—not only buying and selling them. Management includes devising a short- or long-term strategy for acquiring and disposing of portfolio holdings. It can also include banking, budgeting, and tax services and duties, as well.

1. 1. Oldest form of financial derivatives
      1. Forward
      2. Future
      3. Options
      4. Swaps
   2. A user/holder who premises to buy the specified asset at an agreed price at a fixed future date is said to be in ……………………..
      1. Long position
      2. Medium position
      3. Short position
      4. None of the above
   3. Forward contracts are traded through over the counter . Hence it is also known as ………………………..
      1. Customized contracts
      2. Agreed contracts
      3. Direct contracts
      4. None of the above
   4. Highly standardized financial derivatives are known as ……………………
      1. Forward
      2. Swaps
      3. Futures
      4. Currently
   5. Option are the contract conveying the right but not the ……………….
      1. Liability
      2. Obligation
      3. Asset
      4. None of the above
   6. Call option is the right to ………………….
      1. Sell
      2. Buy/ purchased
      3. Re purchase
      4. None of the above
   7. Put option is the right to …………………
      1. Purchase
      2. Sell
      3. Re purchase
      4. None of the above
   8. If the market price exceeds the exercise price in case of put option is called …………………………
      1. ATM
      2. OTM
      3. ITM
      4. None of the above
   9. Financial derivatives market price of the asset in less than the exercise price is said to be …………………
      1. OTM
      2. ATM
      3. ITM
      4. None of the above
   10. ……………………… is the situation arises when the exercise price is equal to the current market price of the underlying asset
       1. OTM
       2. ATM
       3. ITM
       4. WTM
   11. …………………… is the exchange of cash flow or a set of financial obligation between two parties overtime
       1. Option
       2. Future
       3. Forward
       4. Swaps