NISM-Series-VIII: Equity Derivatives: FAQ’s
Get solutions to all the unanswered questions and queries about the NISM-Series-VIII: Equity Derivatives exam.
What is the exam about?
The NISM-Series-VIII: Equity Derivatives Certification Examination seeks to create a common minimum knowledge benchmark for associated persons functioning as approved users and sales personnel of the trading member of an equity derivatives exchange or equity derivative segment of a recognized stock exchange.
The examination aims to enable a better understanding of various derivatives products available in equity derivatives markets, regulations and risks associated with the products, and the exchange mechanisms of clearing and settlement. The examination also covers knowledge competencies related to the understanding of the financial structure in India and the importance of the different rules and regulations governing the Indian securities market, especially those related to the equity derivatives segment.
What is the significance of the exam?
On successful completion of the examination, the candidate should:
- Firstly, know the basics of the Indian equity derivatives market.
- Secondly, understand the various trading strategies that can be built using futures and options on both stocks and stock indices.
- Thirdly, understand the clearing, settlement, and risk management as well as the operational mechanism related to equity derivatives markets.
- Lastly, know the regulatory environment in which the equity derivatives markets operate in India.
How do register myself to take the exam?
For registrations, candidates may visit https://certifications.nism.ac.in/nismaol/.
After successful registration, candidates may select a test center, date, and time slot of their choice on the Test Administrator website.
Visit HERE to refer to the registration guidelines.
How can I renew my certification?
To renew your current certificate, you need to appear for NISM CPE for Equity Derivatives or successfully pass the NISM-Series-VIII Certification Examination before the expiry of such certificate.
What are the objectives of the exam as per the curriculum?
- Firstly, Basics of Derivatives 8%
- Secondly, Understanding Index 2%
- Thirdly, Introduction to Forwards and Futures 25%
- Fourthly, Introduction to Options 25%
- Option Trading Strategies 3%
- Furthermore, Introduction to Trading Systems 4%
- Introduction to Clearing and Settlement System 13%
- Also, Legal and Regulatory Environment 15%
- Accounting and Taxation 3%
- Lastly, Sales Practices and Investor Protection Services 2%
What are the total number of questions in the exam?
There will be a total of 100 multiple-choice questions in the exam.
What is the passing score for the exam?
The candidate need to score a minimum of 60% to pass the certification examination.
Is there any negative marking in the exam?
Yes, there will be negative marking of 25% of the marks assigned to a question
How long is the duration of the exam?
The exam duration is 120 minutes, i.e., 2 hours.
What is the cost to take the exam?
₹1500/- is the exam fees.
