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NISM Certifications · NISM-Series-VIII: Equity Derivatives · Legal and Regulatory Environment

Which of the following is a requirement for a person to act as an approved user or sales personnel dealing in equity derivatives on behalf of a trading member, according to exchange and SEBI norms?

A person dealing in equity derivatives for a trading member must pass the prescribed NISM certification examination, such as the Equity Derivatives series, and keep it valid. Legal degrees, promoter status or a banking licence are not the criterion under exchange and SEBI norms.

  1. APassing the prescribed NISM certification examination for equity derivativesCorrect
  2. BHolding a postgraduate degree in law
  3. CBeing a promoter of a listed company
  4. DHolding a banking licence

Explanation

Exchange and SEBI norms require persons associated with dealing in derivatives to hold a valid certification from NISM, such as the Equity Derivatives certification. Law degrees, promoter status or banking licences are not the requirement.

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