NISM Certifications · NISM-Series-XXI-A: Portfolio Management Services (PMS) Distributors · Introduction to Securities Markets
Which of the following is a debt instrument issued by the Government of India with a maturity of less than one year?
A Treasury bill is the Government of India instrument with maturity below one year, issued for 91, 182 or 364 days. Dated government securities have longer tenors, equity shares represent ownership, and commercial paper is issued by companies rather than the government.
- ATreasury billCorrect
- BDated government security
- CEquity share
- DCommercial paper issued by a company
Explanation
Treasury bills are short-term government money market instruments issued with maturities of up to 364 days. Dated government securities have longer maturities. Equity shares are not debt, and commercial paper is issued by companies, not the government.
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