41. What is the purpose of a ‘rights issue’ in the capital market?
a) To raise additional capital from existing shareholders
b) To repay existing debt
c) To buy back shares from the market
d) To declare dividends to shareholders
42. The term ‘circuit breaker’ in the capital market refers to:
a) Off-market trading of securities
b) Trading freeze during excessive price volatility
c) The closing price of a stock in a trading session
d) The initial public offering price of a stock
43. Which of the following is not an advantage of investing in mutual funds?
a) Professional management
b) Diversification
c) Guaranteed returns
d) Liquidity
44. Which of the following is a securities market intermediary in India?
a) SEBI
b) RBI
c) CDSL
d) NYSE
45. The ‘Capital Adequacy Ratio’ (CAR) is a regulatory requirement for:
a) Banks
b) Stockbrokers
c) Mutual funds
d) Insurance companies
