NISM 5B Mutual Fund Foundation Certification Exam Notes

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  • Financial Advisor Role: Advisors guide investors in aligning investments with goals but do not make final decisions.
  • Cost of Investment: Costs like management fees impact net returns and should be considered in investment decisions.
  • Tax Implications: Tax treatment varies by investment type, affecting post-tax returns significantly.
  • Systematic Risk: Systematic risk affects the entire market and cannot be diversified away.
  • Unsystematic Risk: Unsystematic risk is specific to individual investments and can be mitigated through diversification.

NISM 5B Mutual Fund Foundation

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