The Stock Market of India

Description: This quiz is designed to test your knowledge about the Stock Market of India.
Number of Questions: 15
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Tags: indian economy stock market finance
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What is the name of the oldest stock exchange in India?

  1. Bombay Stock Exchange

  2. National Stock Exchange

  3. Calcutta Stock Exchange

  4. Ahmedabad Stock Exchange


Correct Option: A
Explanation:

The Bombay Stock Exchange (BSE) is the oldest stock exchange in India, established in 1875.

Which city is home to the National Stock Exchange of India (NSE)?

  1. Mumbai

  2. Delhi

  3. Kolkata

  4. Chennai


Correct Option: A
Explanation:

The National Stock Exchange of India (NSE) is located in Mumbai, Maharashtra.

What is the benchmark index of the Bombay Stock Exchange?

  1. Sensex

  2. Nifty 50

  3. BSE 100

  4. BSE 500


Correct Option: A
Explanation:

The Sensex is the benchmark index of the Bombay Stock Exchange, representing the performance of 30 of the largest and most actively traded stocks.

Which index is used to measure the performance of the top 50 companies listed on the National Stock Exchange?

  1. Sensex

  2. Nifty 50

  3. BSE 100

  4. BSE 500


Correct Option: B
Explanation:

The Nifty 50 is the benchmark index of the National Stock Exchange, representing the performance of the top 50 companies listed on the exchange.

What is the term used to describe the process of buying and selling stocks?

  1. Trading

  2. Investing

  3. Speculating

  4. Arbitrage


Correct Option: A
Explanation:

Trading refers to the buying and selling of stocks with the intention of making a profit from short-term price fluctuations.

Which regulatory body oversees the stock exchanges in India?

  1. Securities and Exchange Board of India (SEBI)

  2. Reserve Bank of India (RBI)

  3. Ministry of Finance

  4. National Stock Exchange (NSE)


Correct Option: A
Explanation:

The Securities and Exchange Board of India (SEBI) is the regulatory body responsible for overseeing the stock exchanges and ensuring investor protection in India.

What is the minimum lot size for trading in the stock market in India?

  1. 1 share

  2. 10 shares

  3. 100 shares

  4. 1,000 shares


Correct Option: C
Explanation:

The minimum lot size for trading in the stock market in India is typically 100 shares.

What is the term used to describe a sudden and significant drop in stock prices?

  1. Bull market

  2. Bear market

  3. Correction

  4. Crash


Correct Option: D
Explanation:

A crash is a sudden and significant drop in stock prices, often caused by a loss of confidence in the market or a major economic event.

Which type of order allows investors to buy or sell a stock at a specific price?

  1. Market order

  2. Limit order

  3. Stop order

  4. Trailing stop order


Correct Option: B
Explanation:

A limit order allows investors to buy or sell a stock at a specific price or better.

What is the term used to describe the process of selling a stock short?

  1. Buying on margin

  2. Short selling

  3. Day trading

  4. Scalping


Correct Option: B
Explanation:

Short selling is the process of selling a stock that you do not own, with the intention of buying it back at a lower price and profiting from the difference.

Which type of investment involves buying and holding stocks for a long period of time?

  1. Day trading

  2. Swing trading

  3. Value investing

  4. Growth investing


Correct Option: C
Explanation:

Value investing involves buying and holding stocks that are believed to be undervalued and have the potential for long-term growth.

What is the term used to describe the process of buying and selling stocks within the same trading day?

  1. Day trading

  2. Swing trading

  3. Value investing

  4. Growth investing


Correct Option: A
Explanation:

Day trading involves buying and selling stocks within the same trading day, with the intention of profiting from short-term price fluctuations.

Which type of investment involves buying stocks that are expected to grow rapidly in value?

  1. Day trading

  2. Swing trading

  3. Value investing

  4. Growth investing


Correct Option: D
Explanation:

Growth investing involves buying stocks that are expected to grow rapidly in value, often due to strong earnings growth or innovative products or services.

What is the term used to describe the process of buying and selling stocks based on technical analysis?

  1. Technical analysis

  2. Fundamental analysis

  3. Value investing

  4. Growth investing


Correct Option: A
Explanation:

Technical analysis involves buying and selling stocks based on historical price patterns and trends, rather than on the company's financial performance or industry outlook.

Which type of investment involves buying stocks that pay regular dividends?

  1. Day trading

  2. Swing trading

  3. Value investing

  4. Income investing


Correct Option: D
Explanation:

Income investing involves buying stocks that pay regular dividends, providing investors with a steady stream of income.

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