NISM Certifications · NISM-Series-XV: Research Analyst · Qualities of a Good Research Report
Under the SEBI (Research Analysts) Regulations, 2014, which of the following should a research report clearly distinguish to be considered of good quality?
A good research report clearly separates facts from the analyst's opinions and estimates. This lets readers see which statements are verifiable and which are judgements or projections, so they can assess the reasoning independently rather than mistaking a forecast for an established fact.
- AFacts from the analyst's opinions and estimatesCorrect
- BPositive news from negative news only
- CHistorical prices from current prices only
- DDomestic data from foreign data only
Explanation
A good research report separates verifiable facts from the analyst's opinions, projections and assumptions so the reader can judge reliability. The other options are not the distinction expected; they are merely presentation choices that do not protect the reader from mistaking opinion for fact.
Did you get it right without looking?
One question tells you little. A timed set on Qualities of a Good Research Report shows your real accuracy, how long you take and where you lose marks.
More Qualities of a Good Research Report questions
- An analyst's report on Kaveri Foods uses a base-case EPS of Rs 40 and a P/E of 20 to give a target price. The report adds a sensitivity tabl…
- Which of the following best describes a research report that is 'balanced' in the sense expected of a good research report?
- An analyst values a company using a target P/E of 20 on estimated EPS of Rs 45 for next year. The current market price is Rs 828. What is th…
- A report on a listed company recommends Buy. The analyst's relative holds more than 1% of the company's shares, but the report is silent abo…
- A research analyst's report states a target price of Rs 500 for a stock but does not mention the valuation method, the key assumptions or th…
- A research analyst's report on Sundaram Textiles uses a target price based on a P/E multiple. Which practice most improves the transparency …