National Institute of Securities Markets (NISM)

Series VIII- Equity Derivatives examination 77.50% 

May 2016

NISM (National Institute of Securities Markets)

NISM (National Institute of Securities Markets) is a public trust established by the Securities and Exchange Board of India (SEBI) in 2006 to enhance the quality of securities market professionals in India. NISM provides education, training, and certification programs to promote best practices and professionalism in the Indian financial markets.

Key Features of NISM:

1. Certification Programs:

   • NISM offers various certification exams for individuals looking to work in the securities market. These certifications are mandatory for professionals in roles such as mutual fund distribution, equity derivatives, and investment advisory.

2. Popular NISM Certifications:

   • NISM Series VIII – Equity Derivatives Certification: For professionals dealing with equity derivative markets.

   • NISM Series V-A – Mutual Fund Distributors Certification: For mutual fund agents and distributors.

   • NISM Series X-A – Investment Adviser Level 1: For investment advisory roles.

   • NISM Series VI – Depository Operations Certification: For those working in depository operations.

3. Mandatory Certification for Market Participants:

   • SEBI mandates NISM certifications for various market participants like brokers, advisors, analysts, and mutual fund agents to ensure that they meet industry standards.

4. Training Programs:

   • NISM conducts specialized training sessions, workshops, and conferences for industry professionals to keep them updated with new regulations and financial trends.

5. Continuing Professional Education (CPE):

   • NISM also offers CPE programs, which are essential for professionals to renew their certifications after a few years.

6. Collaborations with Universities:

   • NISM partners with academic institutions to offer diplomas, certifications, and degree programs in capital markets and financial services.

7. Research and Publications:

   • NISM promotes research in financial markets, publishes papers, and contributes to policy discussions in the securities market.

Importance of NISM Certification:

• Eligibility for Jobs: NISM certification is often a prerequisite for specific roles in the securities market, including mutual fund distribution, trading, and advisory services.

• Regulatory Requirement: SEBI mandates NISM certification for professionals working in various capacities within the capital markets to ensure a standardized level of competence.

• Professional Credibility: Earning an NISM certification enhances credibility and demonstrates knowledge and expertise in securities markets.

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NISM Series VIII – Equity Derivatives Certification Examination

The NISM Series VIII – Equity Derivatives Certification Examination is designed for individuals who are involved in the trading and operations of equity derivatives in the securities market. This certification is essential for professionals looking to work in roles related to equity derivatives, such as traders, brokers, and financial analysts.

Key Features of NISM Series VIII:

1. Objective:

   • The examination aims to assess the knowledge and understanding of equity derivatives, including their trading, clearing, settlement, and risk management.

2. Eligibility:

   • There are no specific eligibility criteria to take this examination. It is open to all interested candidates who want to enhance their understanding of equity derivatives.

3. Examination Format:

   • The exam consists of 100 multiple-choice questions (MCQs).

   • The duration of the examination is 2 hours.

   • The passing marks typically range from 50% to 60%, depending on the specific guidelines set by NISM.

4. Syllabus:

   • The syllabus for the NISM Series VIII examination includes the following key topics:

     • Overview of equity derivatives

     • Types of derivatives and their characteristics

     • Trading mechanisms in equity derivatives

     • Pricing of equity derivatives

     • Risk management and trading strategies

     • Settlement of equity derivatives

     • Regulatory framework governing equity derivatives in India

5. Validity and Renewal:

   • The certification is valid for three years. After this period, candidates must undergo continuing professional education (CPE) to renew their certification.

6. Preparation Resources:

   • NISM provides study materials, including mock tests and sample questions, to help candidates prepare for the examination. Various coaching centers and online platforms also offer preparatory courses.

7. Registration Process:

   • Candidates can register for the examination through the NISM website. They need to provide personal details and pay the examination fee, which is typically non-refundable.

8. Career Opportunities:

   • Holding the NISM Series VIII certification can open doors to various career opportunities in the financial sector, particularly in roles involving equity derivatives trading, risk management, and financial analysis.

Importance of Certification:

• Regulatory Requirement: SEBI mandates this certification for professionals working in the equity derivatives segment, ensuring they have the necessary knowledge and skills.

• Professional Credibility: Achieving this certification enhances professional credibility and demonstrates expertise in the equity derivatives market.

New Delhi, India

https://www.nism.ac.in/