What is the purpose of a stock index?  A. To measure inflation  B. To track the performance of a specific market  C. To regulate interest rates  D. To issue government bonds

What is an Index?

Which of the following is an example of a stock index?  A. SENSEX  B. Euro  C. Bitcoin  D. Gold

The main role of a stock market is:*1 pointa) To make profit by trading in securitiesb) Regulate actions of brokers and protect investorsc) Facilitate listing of companies and trading in their securities and removing counter party settlement risks and provide liquidity to investorsd) Provide data and statistics to investors

What is the stock market?

Dean has been asked to propose a benchmark against which his firm's Global Equities Fund may be measured. As part of his proposal, he has been asked to suggest what characteristics are most desirable. Which of the following characteristics are considered important? • a. An index that is reconstituted every day O b. An index that has a large number of small capitalisation stocks that are not readily traded • c. An index that monitors the performance of corporate debt • d. An investable index that has an observable and transparent approach to construction Oe. An index that is subject to high levels of turnover