Investment Analysis & Portfolio Management
FIN 630
Quiz:
1) The three broad categories of financial assets are ____________.
a) Money market securities, long-term debt and equity
b) Corporate securities, derivatives and equity
c) Debt, equity and derivatives
d) All of the given options
2) Which of the following is excluded from the fixed income securities?
a) Bonds
b) Preferred stock
c) Saving deposits
d) Options
3) Financial securities with a maturity of less than a year from their original issue date
are sold in the:
a) Money market
b) Bond market
c) Equity market
d) Derivative market
The price at which a security dealer sells a security is known as:
a) Bid price
b) Offer price
c) Market price
d) Order price
Lahore stock exchange is a:
a) Primary market
b) Secondary market
c) Third market
d) Fourth market
The trading of listed securities in the NASDAQ market is known as:
a) Primary market
b) Secondary market
c) Third market
d) Fourth market
____________ is a professionally managed firm of collective investments that collect
Money from many investors and invests in securities.
a) Share
b) Bond
c) Treasury bill
d) Mutual fund
8) Which type of order is often used by investors who have bought a security and want to
protect themselves from a falling price?
a) Market order
b) Limit order
c) Stop order
d) Good-till-canceled order
9) The percentage of the purchase price of securities that the investor must pay with his
or her own cash or margin able securities is known as:
a) Initial margin
b) Margin call
c) Maintenance margin
d) SPAN margin
10) Which of the following represents low-priced, speculative and risky securities?
a) Income stocks
b) Penny stocks
c) Defensive stocks
d) Cyclical stocks
