NISM 21B Portfolio Managers Exam Notes

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  • Index Definition: Tracks performance of securities basket.
  • Uses of Indices: Benchmarking, market tracking, investments.
  • Index Methodologies: Price-weighted, market-cap weighted, free-float.
  • Price-Weighted Index: Sum of stock prices divided by divisor.
  • Market-Cap Weighted Index: Based on market capitalization.

NISM 21B Portfolio Managers

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