NISM Certifications · NISM-Series-XXI-A: Portfolio Management Services (PMS) Distributors · Collective Investment Vehicles
Which of the following best describes a Real Estate Investment Trust (REIT) in India?
A REIT is a trust that pools investor money to invest mainly in income-generating real estate and distributes most of its income to unit holders. It is a collective investment vehicle, unlike a housing lender, a realty-stock equity fund, or an individual PMS account.
- AA trust that pools money from investors to invest mainly in income-generating real estate assets and distributes most of the income to unit holdersCorrect
- BA company that lends only to home buyers and issues housing loans
- CA mutual fund scheme that invests solely in shares of realty companies
- DA portfolio management service that buys land in the name of each client
Explanation
A REIT is a trust that owns and operates income-generating real estate and passes on the bulk of its rental and other income to unit holders. It is not a lender, not an equity mutual fund scheme, and not a client-specific PMS account.
Did you get it right without looking?
One question tells you little. A timed set on Collective Investment Vehicles shows your real accuracy, how long you take and where you lose marks.
More Collective Investment Vehicles questions
- Under SEBI's framework, a Category III Alternative Investment Fund (AIF) is best described as a fund that:
- Which feature distinguishes an open-ended mutual fund scheme from a closed-ended scheme?
- Which feature distinguishes a closed-ended mutual fund scheme from an open-ended scheme in India?
- Which of the following best describes the legal structure of a mutual fund in India?
- Under SEBI rules, which of the following is a feature of an open-ended mutual fund scheme as compared with a closed-ended scheme?
- A Category III Alternative Investment Fund (AIF) is described by SEBI as one that employs diverse or complex trading strategies and may use …