SESSION 1: INTRODUCTION TO FINANCIAL PLANNING

1. What does GDP stand for in the context of economic indicators?

a) Gross Domestic Product
b) General Domestic Policy
c) Government Development Plan
Answer: a) Gross Domestic Product
2.
3. Which of the following is NOT a component of the Indian Economic
Environment?
a) Economic policies
b) Social media trends
c) Economic institutions
Answer: b) Social media trends
4.
5. What was the significance of the 1991 Economic Reforms in India?
a) Shift from a controlled economy to liberalization
b) Introduction of barter system
c) Nationalization of banks
Answer: a) Shift from a controlled economy to liberalization
6.
7. Which sector contributes the most to India’s GDP today?
a) Agriculture
b) Services
c) Industry
Answer: b) Services
8. What is the primary objective of investment planning?
a) Wealth creation
b) Social media engagement
c) Political campaigning
Answer: a) Wealth creation

9.
10. Which of the following is a traditional investment option?
a) Fixed Deposits
b) Cryptocurrency
c) REITs
Answer: a) Fixed Deposits
11.
12. What is the key benefit of diversification in investments?
a) Reduces risk
b) Guarantees high returns
c) Eliminates taxes
Answer: a) Reduces risk
13.
14. Which regulatory body oversees the securities market in India?
a) SEBI
b) RBI
c) IRDAI
Answer: a) SEBI
15.
16. What is the purpose of tax planning in investments?
a) To minimize tax liability legally
b) To avoid paying taxes entirely
c) To increase taxable income
Answer: a) To minimize tax liability legally
17. Which of the following is a common mistake in investment planning?
a) Chasing quick returns
b) Diversifying across asset classes
c) Regularly reviewing the portfolio
Answer: a) Chasing quick returns

SESSION 2: MANAGING & MARKETING OF FINANCIAL SERVICES

1. What is the primary goal of marketing in financial services?

a) To attract and retain customers
b) To reduce regulatory compliance
c) To eliminate competition
Answer: a) To attract and retain customers
2.
3. Which of the following is NOT part of the marketing mix (4Ps)?
a) Product
b) Profit
c) Promotion
Answer: b) Profit
4.
5. What is the role of segmentation in financial services?
a) To divide the market based on customer needs
b) To reduce product variety
c) To avoid regulatory scrutiny
Answer: a) To divide the market based on customer needs
6. Which communication channel is most suitable for formal records in
financial services?
a) Email
b) Social media
c) Verbal promises
Answer: a) Email
7.
8. What is the purpose of conflict resolution in financial services?
a) To protect client relationships
b) To increase fees
c) To delay claim settlements
Answer: a) To protect client relationships
9.
10. Which of the following is a pricing strategy for financial products?
a) Cost-based pricing
b) Random pricing
c) No pricing
Answer: a) Cost-based pricing
11.
12. What is the key takeaway from HDFC Bank’s digital transformation case
study?
a) Technology improves service delivery
b) Branches are obsolete
c) Digital platforms reduce profits
Answer: a) Technology improves service delivery
13. Which regulatory body governs insurance marketing in India?
a) IRDAI
b) SEBI
c) RBI
Answer: a) IRDAI
14.
15. What is the primary function of a financial planner?
a) To align investments with client goals
b) To sell products indiscriminately
c) To avoid client interactions
Answer: a) To align investments with client goals
16.
17. What is a common challenge in financial planning?
a) Changing life situations
b) Fixed client goals
c) Lack of financial products
Answer: a) Changing life situations

SESSION 3: INVESTMENT & RISK MANAGEMENT

1. What is the primary purpose of asset allocation?

a) To balance risk and return
b) To avoid all risks
c) To focus on one asset class
Answer: a) To balance risk and return
2. Which of the following is a high-risk, high-return asset?
a) Equities
b) Fixed Deposits
c) Government bonds
Answer: a) Equities
3.
4. What does the term "liquidity" refer to in investments?
a) Ease of converting to cash
b) Guaranteed returns
c) Tax benefits
Answer: a) Ease of converting to cash
5.
6. What is the key assumption of the Efficient Market Hypothesis (EMH)?
a) Prices reflect all available information
b) Markets are always irrational
c) Investors can consistently outperform the market
Answer: a) Prices reflect all available information
7.
8. Which of the following is a systematic risk?
a) Economic recession
b) Poor management of a company
c) Strikes in a specific industry
Answer: a) Economic recession
9.
10. What is the primary role of a depository in the securities market?
a) To hold securities in electronic form
b) To issue new shares
c) To regulate stock exchanges
Answer: a) To hold securities in electronic form
11. Which of the following is a debt instrument?
a) Corporate bonds
b) Equity shares
c) Cryptocurrency
Answer: a) Corporate bonds
12.
13. What is the main purpose of diversification?
a) To reduce unsystematic risk
b) To increase market risk
c) To avoid all investments
Answer: a) To reduce unsystematic risk
14.
15. What does YTM (Yield to Maturity) represent for a bond?
a) Total expected return if held until maturity
b) Annual coupon payment
c) Current market price
Answer: a) Total expected return if held until maturity
16.
17. Which of the following is a feature of a good investment?
a) Liquidity
b) Guaranteed high returns
c) No risk
Answer: a) Liquidity
 SESSION 4: INVESTMENT & RISK MANAGEMENT - DEBT

1. What is the primary purpose of the call money market?

a) To manage short-term liquidity
b) To issue long-term bonds
c) To trade equities
Answer: a) To manage short-term liquidity
2.
3. Which of the following is a short-term debt instrument?
a) Commercial Paper
b) Corporate bonds
c) Equity shares
Answer: a) Commercial Paper
4.
5. What is the tenure range for Treasury Bills (T-Bills) in India?
a) 91 days to 364 days
b) 1 to 5 years
c) 10 to 20 years
Answer: a) 91 days to 364 days
6.
7. What is the primary role of the RBI in the government securities market?
a) To conduct auctions
b) To issue corporate bonds
c) To regulate mutual funds
Answer: a) To conduct auctions
8. Which of the following is a risk associated with debt instruments?
a) Interest rate risk
b) No risk
c) Guaranteed returns
Answer: a) Interest rate risk
9.
10. What is the primary purpose of bond valuation?
a) To determine the fair price of a bond
b) To issue new bonds
c) To avoid all risks
Answer: a) To determine the fair price of a bond
11.
12. What does an inverted yield curve indicate?
a) Potential economic recession
b) Strong economic growth
c) Stable interest rates
Answer: a) Potential economic recession
13.
14. Which of the following is a fixed income derivative?
a) Interest Rate Swap
b) Equity futures
c) Cryptocurrency
Answer: a) Interest Rate Swap
15.
16. What is the primary use of fixed income derivatives?
a) To hedge interest rate risk
b) To speculate on equity prices
c) To avoid all investments
Answer: a) To hedge interest rate risk
17. Which of the following is a key feature of government securities?
a) Sovereign guarantee
b) High credit risk
c) No liquidity
Answer: a) Sovereign guarantee

SESSION 5: INVESTMENT & RISK MANAGEMENT - DEBT (Continued)

1.
2. What is the primary purpose of a Certificate of Deposit (CD)?
a) To provide short-term funding for banks
b) To issue long-term equity
c) To trade commodities
Answer: a) To provide short-term funding for banks
3.
4. Which of the following is a feature of repos?
a) Short-term borrowing using government securities
b) Long-term equity investment
c) No collateral involved
Answer: a) Short-term borrowing using government securities
5.
6. What is the primary role of the CCIL in the debt market?
a) To ensure settlement of trades
b) To issue new bonds
c) To regulate stock exchanges
Answer: a) To ensure settlement of trades
7. Which of the following is a benefit of investing in government securities?
a) Low risk
b) High volatility
c) No liquidity
Answer: a) Low risk
8.
9. What is the primary purpose of the Retail Direct Scheme by RBI?
a) To allow retail investors to buy government securities
b) To issue corporate bonds
c) To regulate mutual funds
Answer: a) To allow retail investors to buy government securities
10.
11. Which of the following is a type of government security?
a) State Development Loans (SDLs)
b) Corporate bonds
c) Equity shares
Answer: a) State Development Loans (SDLs)
12.
13. What is the primary risk associated with fixed income derivatives?
a) Interest rate risk
b) No risk
c) Guaranteed returns
Answer: a) Interest rate risk
14.
15. Which of the following is a key participant in the government securities
market?
a) Primary Dealers
b) Equity traders
c) Cryptocurrency miners
Answer: a) Primary Dealers
16.
17. What is the primary purpose of bond yield curves?
a) To analyze interest rate expectations
b) To issue new bonds
c) To avoid all investments
Answer: a) To analyze interest rate expectations

18. Which of the following is a recent trend in the Indian debt market?
a) Digital transformation
b) Decline in regulatory oversight
c) Reduced retail participation
Answer: a) Digital transformation

SESSION 6: INSURANCE PRINCIPLES & PRODUCTS

1. What is the principle of utmost good faith in insurance?

a) Full disclosure of material facts
b) Hiding information to reduce premiums
c) No need for transparency
Answer: a) Full disclosure of material facts
2.
3. Which of the following is a type of life insurance product?
a) Term insurance
b) Fixed Deposit
c) Equity shares
Answer: a) Term insurance
4. What is the primary purpose of liability insurance?
a) To cover third-party legal risks
b) To invest in equities
c) To avoid all risks
Answer: a) To cover third-party legal risks
5.
6. Which regulatory body governs insurance in India?
a) IRDAI
b) SEBI
c) RBI
Answer: a) IRDAI
7.
8. What is the primary benefit of health insurance?
a) Financial coverage for medical expenses
b) Guaranteed investment returns
c) No need for premiums
Answer: a) Financial coverage for medical expenses
9.
10. Which of the following is a feature of motor insurance?
a) Third-party liability cover
b) Investment in stocks
c) No risk coverage
Answer: a) Third-party liability cover
11.
12. What is the primary purpose of reinsurance?
a) To share large risks among insurers
b) To avoid all claims
c) To invest in equities
Answer: a) To share large risks among insurers
13. Which of the following is a key principle of insurance?
a) Indemnity
b) Guaranteed profits
c) No need for claims
Answer: a) Indemnity
14.
15. What is the primary role of an actuary in insurance?
a) To calculate premiums and risks
b) To sell policies
c) To avoid all calculations
Answer: a) To calculate premiums and risks
16.
17. Which of the following is a recent trend in health insurance?
a) Telemedicine
b) Reduced coverage
c) No premiums
Answer: a) Telemedicine

SESSION 7: INSURANCE PRODUCTS & MARKETING

1. What is the primary purpose of fire insurance?

a) To cover property damage due to fire
b) To invest in equities
c) To avoid all risks
Answer: a) To cover property damage due to fire
2. Which of the following is a type of marine insurance?
a) Cargo insurance
b) Term insurance
c) Fixed Deposit
Answer: a) Cargo insurance
3.
4. What is the primary benefit of group life insurance?
a) Affordable coverage for employees
b) High investment returns
c) No premiums
Answer: a) Affordable coverage for employees
5.
6. Which of the following is a key feature of general insurance?
a) Short-term coverage
b) Long-term investment
c) No claims
Answer: a) Short-term coverage
7.
8. What is the primary role of a financial planner in insurance?
a) To align insurance with client goals
b) To sell policies indiscriminately
c) To avoid client interactions
Answer: a) To align insurance with client goals
9.
10. Which of the following is a distribution channel for insurance products?
a) Bancassurance
b) Cryptocurrency
c) No channels
Answer: a) Bancassurance
11. What is the primary purpose of risk management in insurance?
a) To minimize financial losses
b) To avoid all risks
c) To guarantee profits
Answer: a) To minimize financial losses
12.
13. Which of the following is a key principle of insurance marketing?
a) Customer-centric approach
b) No transparency
c) High-pressure sales
Answer: a) Customer-centric approach
14.
15. What is the primary benefit of pension products?
a) Regular income post-retirement
b) High-risk investment
c) No need for planning
Answer: a) Regular income post-retirement
16.
17. Which of the following is a recent trend in insurance marketing?
a) Digital transformation
b) Reduced customer focus
c) No innovation
Answer: a) Digital transformation
 SESSION 8: INSURANCE PRODUCTS & FINANCIAL PLANNING

1. What is the primary purpose of retirement planning?

a) To ensure financial independence post-retirement
b) To avoid all savings
c) To invest only in equities
Answer: a) To ensure financial independence post-retirement
2.
3. Which of the following is a government pension scheme in India?
a) Atal Pension Yojana (APY)
b) Fixed Deposit
c) Equity mutual funds
Answer: a) Atal Pension Yojana (APY)
4.
5. What is the primary benefit of tax planning in financial planning?
a) To minimize tax liability legally
b) To avoid all taxes
c) To increase taxable income
Answer: a) To minimize tax liability legally
6.
7. Which of the following is a key component of financial planning?
a) Goal setting
b) No planning
c) Random investments
Answer: a) Goal setting
8. What is the primary role of insurance in financial planning?
a) To mitigate financial risks
b) To avoid all coverage
c) To guarantee high returns
Answer: a) To mitigate financial risks
9.
10. Which of the following is a common mistake in retirement planning?
a) Underestimating healthcare costs
b) Starting early
c) Diversifying investments
Answer: a) Underestimating healthcare costs
11.
12. What is the primary purpose of estate planning?
a) To ensure smooth wealth transfer
b) To avoid all savings
c) To invest only in risky assets
Answer: a) To ensure smooth wealth transfer
13.
14. Which of the following is a tax-saving investment option?
a) PPF
b) Cryptocurrency
c) No investments
Answer: a) PPF
15.
16. What is the primary benefit of starting retirement planning early?
a) Benefit of compounding
b) No need for savings
c) Guaranteed high returns
Answer: a) Benefit of compounding
17. Which of the following is a key takeaway from financial planning?
a) Balance risk protection and wealth creation
b) Avoid all planning
c) Focus only on short-term goals
Answer: a) Balance risk protection and wealth creation

SESSION 9: PENSION PRODUCTS & TAXATION

1. What is the primary purpose of pension products?

a) To provide regular income post-retirement
b) To invest in high-risk assets
c) To avoid all savings
Answer: a) To provide regular income post-retirement
2.
3. Which of the following is a type of annuity?
a) Immediate annuity
b) Fixed Deposit
c) Equity shares
Answer: a) Immediate annuity
4.
5. What is the primary benefit of the National Pension System (NPS)?
a) Tax benefits and retirement corpus
b) High-risk investment
c) No lock-in period
Answer: a) Tax benefits and retirement corpus
6. Which of the following is a tax-saving section for pension investments?
a) 80CCD
b) No tax benefits
c) Only for equities
Answer: a) 80CCD
7.
8. What is the primary risk in pension planning?
a) Longevity risk
b) No risks
c) Guaranteed returns
Answer: a) Longevity risk
9.
10. Which of the following is a recent trend in pension products?
a) Digital onboarding
b) Reduced flexibility
c) No innovation
Answer: a) Digital onboarding
11.
12. What is the primary role of PFRDA in pension products?
a) To regulate and oversee pension schemes
b) To issue corporate bonds
c) To avoid all regulations
Answer: a) To regulate and oversee pension schemes
13.
14. Which of the following is a key feature of ULIP-based pension plans?
a) Market-linked returns
b) Guaranteed fixed returns
c) No investment component
Answer: a) Market-linked returns
15. What is the primary benefit of tax-efficient withdrawals in pension
planning?
a) To minimize tax liability
b) To avoid all taxes
c) To increase taxable income
Answer: a) To minimize tax liability
16.
17. Which of the following is a common mistake in pension planning?
a) Delaying investments
b) Starting early
c) Diversifying investments
Answer: a) Delaying investments

SESSION 10: MUTUAL FUNDS & FUND ACCOUNTING

1. What is the primary purpose of a mutual fund?

a) To pool money from investors and invest in securities
b) To guarantee high returns
c) To avoid all risks
Answer: a) To pool money from investors and invest in securities
2.
3. Which of the following is a type of mutual fund?
a) Equity fund
b) Fixed Deposit
c) Cryptocurrency
Answer: a) Equity fund
4.
5. What is the primary benefit of SIP (Systematic Investment Plan)?
a) Disciplined investing
b) Guaranteed returns
c) No lock-in period
Answer: a) Disciplined investing
6.
7. Which of the following is a risk in mutual fund investing?
a) Market risk
b) No risks
c) Guaranteed returns
Answer: a) Market risk
8.
9. What is the primary role of SEBI in mutual funds?
a) To regulate and protect investors
b) To issue mutual funds
c) To avoid all regulations
Answer: a) To regulate and protect investors
10.
11. Which of the following is a key feature of NAV (Net Asset Value)?
a) Reflects the per-unit value of the fund
b) Guarantees profits
c) No calculation needed
Answer: a) Reflects the per-unit value of the fund
12.
13. What is the primary purpose of fund accounting?
a) To track transactions and calculate NAV
b) To avoid all accounting
c) To guarantee high returns
Answer: a) To track transactions and calculate NAV
14. Which of the following is a tax implication for equity mutual funds?
a) LTCG tax after ₹1 lakh
b) No taxes
c) Only for debt funds
Answer: a) LTCG tax after ₹1 lakh
15.
16. What is the primary benefit of diversification in mutual funds?
a) Reduces risk
b) Guarantees high returns
c) No need for planning
Answer: a) Reduces risk
17.
18. Which of the following is a common myth about mutual funds?
a) "Higher NAV means expensive"
b) "Diversification reduces risk"
c) "Market-linked returns are possible"
Answer: a) "Higher NAV means expensive"

SESSION 11 – Mutual Fund Products & Services

1. Which of the following best describes Portfolio Management?

A) Only investing in debt funds
B) Random selection of assets
C) Strategic investment oversight for return optimization
D) Ignoring risk parameters
○ Answer: Option C
○ Explanation: Portfolio Management involves strategic selection and oversight to
optimize returns at acceptable risk levels.
2. Active Portfolio Management aims to:
A) Match index returns
B) Reduce fund turnover
C) Outperform the benchmark
D) Avoid rebalancing
Answer: Option C

3. Which portfolio allocation strategy adjusts frequently with market conditions?

A) Strategic
B) Tactical
C) Dynamic
D) Fixed
Answer: Option C

4. Sharpe Ratio helps measure:

A) Only returns
B) Fund's volatility
C) Risk-adjusted returns
D) Expense ratio
Answer: Option C

5. Rolling returns help measure:

A) Past returns only
B) Returns over fixed single dates
C) Consistency of fund performance
D) One-time returns
Answer: Option C
6. Which term reflects a fund manager's skill in outperforming the benchmark?
A) Beta
B) Alpha
C) NAV
D) VaR
Answer: Option B
7. Portfolio Rebalancing is triggered by:
A) Daily NAV changes
B) Asset price fall only
C) Market movement or time intervals
D) Monthly fund disclosures
Answer: Option C

8. Which is NOT a benefit of mutual fund investing?

A) Liquidity
B) Professional management
C) Guaranteed returns
D) Diversification
Answer: Option C

9. What is the main purpose of benchmarking in mutual fund evaluation?

A) Estimate taxes
B) Compare with peers
C) Compare performance with index
D) Track expense ratio
Answer: Option C

10. Which organization mandates risk-o-meter disclosure for mutual funds?

A) RBI
B) IRDAI
C) SEBI
D) Ministry of Finance
Answer: Option C
 SESSION 12 – Banking Products & Services

1. Which deposit is withdrawable anytime?

A) Fixed Deposit
B) Recurring Deposit
C) Term Deposit
D) Demand Deposit
Answer: Option D

2. What is the nature of a Current Account?

A) Earns interest
B) Fixed maturity
C) High transaction volume, no interest
D) Only for individuals
Answer: Option C

3. Which loan is typically unsecured and for personal use?

A) Auto loan
B) Home loan
C) Personal loan
D) Business loan
Answer: Option C

4. A credit card provides:

A) Fixed deposit guarantee
B) Revolving credit
C) Cash-only withdrawals
D) No spending limit
Answer: Option B
5. What is the function of KYC in banking?
A) Issue debit cards
B) Determine interest
C) Prevent money laundering
D) Set ATM limits
Answer: Option C

6. Which is a digital banking tool?

A) Demand Draft
B) Passbook
C) UPI
D) Cheque
Answer: Option C

7. Which charge involves possession transfer to the lender?

A) Mortgage
B) Hypothecation
C) Pledge
D) Lien
Answer: Option C

8. What is DICGC insurance cover limit?

A) ₹1 lakh
B) ₹2 lakh
C) ₹5 lakh
D) Unlimited
Answer: Option C
9. Floating charge applies to:
A) Land and building
B) Specific machinery
C) Inventory and receivables
D) Fixed deposit
Answer: Option C

10. Which Act is used to recover secured loans without court intervention?
A) Companies Act
B) SARFAESI Act
C) Indian Penal Code
D) SEBI Act
Answer: Option B

SESSION 13 – Retail Banking

1. Retail banking primarily serves:

A) Corporates
B) Banks
C) Individuals and households
D) Government agencies
Answer: Option C

2. Which of the following is a loan product in retail banking?

A) Savings account
B) Mutual fund
C) Home loan
D) ATM
Answer: Option C
3. Bancassurance refers to:
A) Opening ATMs in malls
B) Selling insurance via banks
C) Linking Aadhar with account
D) Offering gold loans only
Answer: Option B

4. Which segment targets high-net-worth individuals in banks?

A) Mass banking
B) Privilege banking
C) Kisan banking
D) Rural banking
Answer: Option B

5. CASA ratio refers to:

A) Credit amount security account
B) Current and savings account deposits ratio
C) Cash and asset security allocation
D) Cost accounting standards
Answer: Option B

6. Which is NOT a digital channel in retail banking?

A) UPI
B) Mobile App
C) Internet Banking
D) Demand Draft
Answer: Option D
7. Which term refers to analyzing customer behavior to cross-sell products?
A) CRM
B) MIS
C) ERP
D) HRM
Answer: Option A
8. A key challenge in retail banking today is:
A) Excess cash
B) Rising NPAs in unsecured loans
C) Fixed income
D) Increasing deposits
Answer: Option B

9. RBI’s Banking Ombudsman is related to:

A) Risk rating
B) Tax management
C) Customer grievance redressal
D) ATM installation
Answer: Option C

10. Which technology is used for financial advice in future banking trends?
A) LED screens
B) AI-based advisors
C) Manual filing
D) Fax machines
Answer: Option B

SESSION 14 – Wealth Management

1. Wealth management caters primarily to:

A) Small depositors
B) HNIs
C) Students
D) Pensioners
Answer: Option B
2. Which of the following is a key objective of wealth management?
A) ATM access
B) Intergenerational wealth transfer
C) Fast loans
D) High turnover
Answer: Option B

3. Portfolio Management Services (PMS) are regulated by:

A) RBI
B) SEBI
C) NABARD
D) IRDA
Answer: Option B

4. A structured product combines:

A) Only equity
B) Equity and insurance
C) Debt, equity, and derivatives
D) None of these
Answer: Option C

5. ULIPs combine:
A) Mutual fund + FD
B) Insurance + Investment
C) Loan + Insurance
D) Tax saving + PPF
Answer: Option B
6. Which document ensures asset transfer after death?
A) FD Receipt
B) Nominee form
C) Will
D) Credit score
Answer: Option C
7. ESG-linked products are part of:
A) Digital wallets
B) Green banking
C) Retail loans
D) Traditional FDs
Answer: Option B

8. Tax-saving through HUF structuring is part of:

A) Insurance planning
B) Risk profiling
C) Tax planning strategy
D) Loan processing
Answer: Option C

9. A family office is used by:

A) Banks for audits
B) Government employees
C) HNIs for wealth management
D) Retail depositors
Answer: Option C

10. Which international compliance is important for NRIs?

A) IRDA
B) FATCA
C) FSSAI
D) NPS
Answer: Option B