Currency Derivatives: A Beginner’s Module
The Currency Derivatives A Beginner’s Module exam has been designed with a view to improving awareness about the ‘Currency Derivatives’ product, which has been made available for trading in the Indian securities market in 2009. The exam content is structured to help a beginner understand what the product is, how it is traded and what uses it can be put to.
Target Audience
The Currency Derivatives: A Beginners Module exam is targeted towards the following mentioned audience:
- Firstly, students
- Secondly, teachers
- Thirdly, bankers
- Fourthly, Corporate Executives
- Employees of Export/Import Houses
- Also, analysts
- Furthermore, employees of Brokers and Sub-brokers
- Lastly, anybody having an interest in the Indian Securities Market
Currency Derivatives Exam Details
Familiarising with the exam details is important before commencing on with your preparations. NCFM Currency Derivatives A Beginner’s Module Exam Questions are in multiple choice format. You get 120 minutes to complete the 60 questions of this exam. Also, the passing score is 50%. Most importantly, there is no negative marking, hence you should definitely attempt all the questions.
| Exam Name | Currency Derivatives: A Beginner’s Module |
| Exam Vendor | NSE – National Stock Exchange of India Ltd. |
| Exam Level | Foundation |
| Certification Validity | 5 Years |
| Exam Language | English |
| Exam Format | Multiple Choice Questions |
| Exam Duration | 120 minutes |
| Number of Questions | 60 |
| Passing Score | 50% |
| Negative Marking | No |
Exam Registration
Candidates can register online by accessing the link ‘Online Registration’ available under Education>Certifications>Online Register / Enroll.
Once registered, you will get a unique NCFM registration number along with a user id and password. Confirmation will be sent to the email id and mobile number entered during registration. Using the same, you can access your online NCFM account to make payment / enroll for test/update address/check study material status/view certificates, etc.
Frequently Asked Questions
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Course Outline
The NCFM Currency Derivatives A Beginner’s Module Course coves following domains:
Derivatives as a Risk Management Tool
- Concept of risk
- Risk management
- Types of traders in the derivatives markets
Currency Markets
- Exchange rate
- Fixed and floating exchange rate regime
- Factors affecting the Concept of quotes
- Tick-size Spreads
- Spot transaction and forward transaction
Currency Futures
- Forward contracts
- Futures contracts
- Pricing of futures contracts.
Strategies using Currency Futures
- Hedging, speculation and arbitrage in currency futures
NSE’s Currency Derivatives Segment
- Product definition
- Trading underlying versus trading futures
- Uses of currency futures at NSE
Trading, Clearing, Settlement and Risk Management
- Membership
- Future contract specifications
- Trading system
- The trader workstation
- Basis of trading
- Client-Broker relationship in the derivatives segment
- Clearing entities
- Position limits
- Margins
- Settlement of contracts.
Preparatory Guide – Currency Derivatives
Before you get started, you must refer to the following NCFM Currency Derivatives A Beginner’s Module Study Guide that mentions all the relevant and possible learning resources that are ideally required for the exam preparation.
Refer to Exam Objectives
For Currency Derivatives: A Beginner’s Module, NCFM provides the course outline. This course outline includes topics categorized into various sections and subsections, thus, helping candidates to start their preparation in a sequential way. For the test, the course outline includes:
- Firstly, Derivatives as a Risk Management Tool
- Secondly, Currency Markets
- Thirdly, Currency Futures
- Fourthly, Strategies using Currency Futures
- Also, NSE’s Currency Derivatives Segment
- Lastly, Trading, Clearing, Settlement and Risk Management
Online Course
The NSE Academy offers the self-study course for Currency Derivatives: A Beginner’s Module. Enrolling in here can help you understand all the fundamentals and essential concepts. Furthermore, this will lead to help you prepare for the test.
NSE Knowledge Hub
NSE Knowledge Hub is an AI-First and Mobile-First ecosystem of personalized and community-based learning. This is a unique Artificial Intelligence (AI) powered learning platform specially created for financial learning and to assist the BFSI sector in enhancing skills for their employees and helping academic institutions in preparing future-ready talent skilled for the financial services industry.
- Firstly, become familiar with banking, insurance, and finance topics, discover content in various domains in finance
- Secondly, formal and informal learning through hours of curated content tailored to the individual’s areas of interests and goals
- Lastly, Up-Skill by enrolling in free or paid deep skilling pathways at a marketplace with well-known providers of courses, assessments, labs, and credentials
NSE Study Material
There are various NCFM Currency Derivatives Beginners Module Study Material Pdf that supplement your learning experience. NSE provides a workbook for its all certification exam that can be issued only after making payment for the module. This can be easily downloaded by logging into your account from the E-Library option. However, NSE also offers candidates to purchase the Workbooks for NCFM modules by sending a request letter. This has to be done along with a demand draft of Rs. 500/- per module per workbook.
Practice Tests
Self-evaluation provides you with greater insight into your preparation. Before the actual certification test, indeed, it is highly recommended to give NCFM Currency Derivatives A Beginner’s Module Mock Tests. Moreover, it will help you determine your skills and preparation, making you familiar with the exam pattern.
Assess your knowledge and evaluate yourself with the latest and updated NCFM Currency Derivatives A Beginner’s Module Practice Exams that TestPrepTraining offers you for FREE!
