NISM-Series-V-B: Mutual Fund Foundation Certification Examination 

offered by National Institute of Securities Markets

Know the concept of securities markets and its role in the Indian Economy

Understand the concept of mutual fund and compare and contrast with conventional investment avenues such as Bank Deposits, Post Office Deposits, Public Provident Fund

Understand the mutual fund industry and related concepts

List the advantages and limitations of a mutual fund

Understand the two plans or routes for investors to invest in a mutual fund

Know about the different kind of investment options available to the investors

Explain the role of new cadre of mutual fund distributors

Know the basic legal structure of mutual funds in India and understand their role

Understand the role and support functions of service providers of mutual funds

Understand the organisation structure of Asset Management Company

Understand the classification of mutual fund schemes

Explain the categorisation and definition of open-end mutual fund schemes

Understand the classification of mutual fund schemes

Understand the concepts of Entry Load and Exit Load and their application in calculating the Net Asset Value (NAV)

Understand the calculation of returns for an investor investing in mutual fund schemes

Understand the concept of risk in a mutual fund investment

Understand the measures of risk adjusted return

Understand the concept of benchmark for some of the mutual fund schemes

Understand the different types of taxes associated with mutual fund schemes

Select different schemes of mutual funds based on their tax implication

Know the process of New Fund Offer (NFO)

Understand the key components of an offer document

Know various distribution channels for mutual funds

Know the pre-requisites to be fulfilled to become a distributor of a mutual fund

Know the transaction charges and commission structure for mutual fund distributors

Know the regulations, guidelines and code of conduct for selling mutual fund schemes

Know the types of investors eligible to invest in mutual fund schemes

Understand the compliance requirements for mutual fund investors

Know the KYC process followed by distributors through KYC Registered Agency (KRA)

List the types of investor transactions in mutual funds

Understand the different transaction mediums for purchase and repurchase (sale) of mutual fund

Know the cut-off timing for subscription and redemption of mutual fund schemes

Understand the concept of dematerialisation and mutual fund transactions through stock exchanges

Describe the mutual fund investment plans

Understand the systematic transaction processes

Describe the contents and periodicity of Statement of Account (SoA) and Consolidated Account Statement (CAS) to the investor

Explain the process for nomination and pledge

List investor services and facilities offered by AMCs

Understand the objective behind investing in different asset classes through mutual funds

Understand the basics of Financial Planning

Relate financial planning to financial goals and the time horizon for their achievement

Relate Financial Goals with Investment Requirements

Understand the steps of financial planning

Know various stages of Life Cycle and investment needs

Know various stages of Wealth Cycle and investment needs

Understand the importance of risk profiling

Understand financial planning with the help of model portfolios

Understand the important parameters for selecting mutual fund schemes

Understand taxation and liquidity aspects while selecting growth and dividend option within a mutual fund scheme

Identify the sources of data to track mutual fund performance

Know the role of SEBI in regulating mutual funds

List the functions of AMFI

Understand Investors rights and obligations