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Securities Market Basic Module (Foundation) Exam

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Securities Market Basic Module (Foundation) Exam

The National Institute of Securities Markets (NISM) offers the Series XII - Securities Markets Foundation Exam to assess your understanding of the fundamental concepts and workings of the Indian securities market. Earning this certification demonstrates your basic knowledge of financial instruments, trading processes, and regulatory frameworks, making it a valuable stepping stone for a career in Indian finance.

Who Should Take This Exam?

  • Entry-Level Professionals: Individuals seeking to embark on a career in the securities market, such as financial advisors, research analysts, or wealth managers.
  • Finance Enthusiasts: Anyone interested in gaining foundational knowledge about the Indian stock market and financial instruments.
  • Students: Those pursuing studies in finance or business administration can benefit from this certification as a foundational building block.
  • Homemakers and Professionals from Other Fields: Anyone seeking to broaden their financial literacy and understanding of investments.

Course Outline

The Securities Market Basic Module (Foundation Module) covers the following topics:

Securities Market in India – An Overview

  • Securities market and financial system; Products, participants and functions; Primary market; Secondary market; Derivatives market; Regulators; Exchanges; Depositories; Clearing corporations; Regulatory framework; Reforms.

Primary Market

  • Book building; Credit rating; Merchant banking; On-line IPOs; Demat issues; Private placement; Virtual debt portals; ADRs/GDRs; Other regulations; Public issues; Euro issues; Debt issues; Collective investment vehicles viz., MFs, VCFs, CISs.

Secondary Market

  • Membership; Listing; Trading and settlement mechanism;Technology;Trading rules- Insider Trading; Unfair trade practices;Takeovers; Buy back; Turnover; Market capitalization; Prices; Liquidity; Transaction costs; Risk management; Indices.

Government Securities Market

  • Indian debt market; Primary market; Secondary market-NDS; NDS-OM; CCIL; Wholesale debt market (WDM) segment of NSE.

Derivatives Market

  • Products, Participants and functions; Trading mechanism; Membership; Contract specification; Clearing & Settlement; Open interest; Implied interest rate; Implied volatility; Risk management; Debt derivatives.

Mathematics and Statistics

  • Measures of central tendency; Return and Risk.

Securities Market Basic Module (Foundation) Exam FAQs

NCFM provide knowledge to professionals working in the financial industry by providing training certification for various industry fields to provide an advantage in getting a job. Whereas NISM is launched by SEBI is opted by those investors who have an interest in gaining knowledge in finance market. With SEBI it provides quality to financial market.

The Securities Market Basic Module (Foundation) Online Tutorial focuses on core skills -

  • Understanding the various products, participants, and functions of the securities market.
  • Understanding the market design of Primary Market & Secondary Market
  • Understand the government securities market.

This module develops on the Financial Market Beginner's Module. It discusses the issues relating to different areas of securities market in greater depth and detail than the Financial Market Beginner's Module. In addition, the course helps understand the securities market structure and government securities market.

There are no prerequisites for Securities Market Basic Module (Foundation Module) Exam.

The exam is available in English language only.

The candidate has to score a minimum of 60% in order to pass the exam.

• Students • Investors • Employees of Broker and Sub-brokers • Depository Particpants employees • Employees of Mutual Funds • Employees of Research Houses/Analysts/Researchers • Employees of BPOs/IT Companies • Anybody having interest in the Securities Market

The fee structure for Securities Market Basic Module (Foundation Module) Exam is One Thousand Seven Hundred only (Rs. 1700- ).

The exam consists of 60 questions which need to be completed in time duration of 120 minutes.

To undergo the FLIP-NCFM Securities Market certification, it is mandatory to complete the e-learning (training) of Finitiatives Learning India Pvt. Ltd. Step 1 : Register with FLIP Already registered? Step 2 : Purchase the Securities module Step 3 : After completing the training pay NCFM the certification fee, and book the test date.

NCFM certification provides advantages and benefits to the individuals who want to pursue a career in finance. This will provide in depth knowledge in financial sectors and help you understand the concepts. This certification comes with different courses in the banking and finance which will provide abilities and skills. You learn about mutual funds and give you knowledge about the risk involved and provide you job security.

After the completion of your exam, the points you earned on each question are totaled and then compared with the cut score to determine whether the result is pass or fail.

The certificate will be valid for 5 years from the date of the examination.

There will only be multiple-choice and multi-response questions covered in the exam.

There is a negative marking for every wrong answer and 25% of the marks will be deducted.

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Once purchased, the practice exams can be access for the lifetime.

Yes we offer nearly 50% discount for the order more than 10 products at a time. You can reach the testprep training Helpdesk for more details. The member of support staff will respond as soon as possible.

Yes, we offer a 100% unconditional money back guarantee. In case you are not able to clear the exam for then you can request for the full refund. Please note that we only refund the cost of product purchased from Testprep Training and not the Securities Market Basic Module (Foundation Module) Exam cost.

Yes our experts frequently blog about the tips and tricks for exam preparation.

Yes testprep training offers free practice tests for the Securities Market Basic Module (Foundation Module) Exam which can be used before the final purchase for complete test.

Yes, Testprep Training offers email support for any certification related query while you are preparing for the exam using our practice exams. Your query will be handled by experts in due course.