MCQs- CHAPTER 6- INDUSTRY ANALYSIS

An individual research analyst or partnership firm should have net tangible assets of value not less than Rs. 1 lakh.

The Reserve Bank of India (RBI) is the central bank in India with the responsibility of administering the monetary policy, controlling the money supply, and regulating the banking system in the country.

Both financial creditors and operational creditors can initiate insolvency proceedings against a company under the IBC if the undisputed amount outstanding is more than Rs. 1,00,000.

Existing research analysts have to comply with the capital adequacy requirement within one year from the date of commencement of the regulations.

The bye-laws of the stock exchanges may vary across different exchanges and they are not required to be approved by SEBI (Securities and Exchange Board of Indi. Each stock exchange has its own set of bye-laws approved by its governing body.

The certificate of registration granted under the regulations is valid until it is suspended or cancelled by the Boar

According to Regulation 17 of the SEBI (Research Analyst) Regulations, research entities are prohibited from paying any bonus, salary, or other form of compensation to any individual employed as a research analyst that is determined or based on any specific merchant banking or investment banking or brokerage services transaction.

The disclosures of actual and potential conflicts of interest should be complete, timely, clear, concise, specific, and prominent.

The First Schedule of SEBI (Research Analyst) Regulation, 2014 specifies the application process for obtaining a certificate of registration.

Insider Trading is considered an unhealthy practice in the Securities Markets as it involves trading based on non-public, material information, which gives the trader an unfair advantage over other market participants.

According to the Code of Conduct for Research Analysts, a research analyst or research entity should maintain the confidentiality of the research report until it is made publi

Investment banking or merchant banking or brokerage services division's personnel of a research entity are not allowed to direct research analysts to engage in sales or marketing related to an investment banking or merchant banking or brokerage services. However, they can provide feedback to research analysts on the impact of research reports.

The purpose of the Insolvency and Bankruptcy Code (IB is to consolidate all the laws related to reorganization and insolvency proceedings against companies, partnership firms, and individuals. It aims to provide a time-bound resolution of insolvency proceedings.

According to the provided information, the committee of creditors in an insolvency proceeding under the Insolvency and Bankruptcy Code (IB can consist of financial creditors.

Individuals registered as research analysts should possess a NISM certification for research analysts as specified by the Board or any other certification recognized by the Boar

If an application for a certificate of registration is rejected by the Board, the applicant must cease to act as a research analyst immediately.

Every insolvency proceeding under the IBC should be completed within 180 days from the initiation of the process. However, extensions can be granted in certain cases.

According to the provided information, any creditor to the firm (financial creditors or operational creditors) can bring insolvency proceedings against a company under the Insolvency and Bankruptcy Code (IB if the undisputed amount outstanding is more than Rs.1,00,000.

According to the provided information, upon the application for an insolvency proceeding, the adjudicating authority appoints an interim resolution professional (IRP) who is responsible for managing the affairs of the company.

According to the provided information, an insolvency proceeding under the Insolvency and Bankruptcy Code (IB should be completed within 180 days since the initiation of the process.

The rejection of an application does not affect the liability of the applicant under the law.

Only financial creditors can be part of the committee of creditors under the IB Operational creditors, although they can initiate insolvency proceedings, are not eligible to be part of the committee of creditors.

According to the Code of Conduct for Research Analysts, the senior management of a research analyst or research entity should bear the primary responsibility for ensuring the maintenance of appropriate standards of conduct and adherence to proper procedures.

According to the provided information, an insolvency proceeding under the Insolvency and Bankruptcy Code (IB can result in the restructuring of the business, takeover, or liquidation. The liquidation route is preferred only if no other option is available.

Regulation 22 states that a research report shall not be made available selectively to internal trading personnel or a particular client or class of clients in advance of other clients who are entitled to receive the research report.

After considering an application, if the Board decides not to grant a certificate of registration, it may reject the application after giving the applicant a reasonable opportunity to be hear The decision of the Board to reject the application must be communicated to the applicant within thirty days, along with a detailed explanation for the rejection.

If a research report contains a rating or price target for securities assigned for at least one year, it should also provide a graph of daily closing prices for the assigned perio

The aim of SEBI (Research Analyst) Regulation, 2014, and its amendments is to foster objectivity and transparency in security research and provide investors with more reliable and useful information to make investment decisions.

Research analyst or research entity can publish or distribute a research report or make a public appearance regarding a subject company for which they acted as a manager or co-manager within forty days immediately following the day on which the securities are priced if the offering is an initial public offering, or within ten days immediately following the day on which the securities are priced if the offering is a further public offering.

A research analyst who is a body corporate or limited liability partnership firm should have a networth of not less than Rs. 25 lakh.

An insolvency proceeding under the IBC can result in business restructuring, takeover, or liquidation. The liquidation route is preferred only when no other option is available.

According to the Code of Conduct for Research Analysts, a research analyst or research entity is prohibited from engaging in insider trading or front running.

According to the Code of Conduct for Research Analysts, a research analyst or research entity should act honestly and in good faith.

Research analyst or research entity should ensure that facts in research reports are based on reliable information and define terms consistently.

An applicant has 30 days to request a reconsideration of the decision if their application for a certificate of registration is rejected by the Boar

When an application for insolvency proceeding is filed and the adjudicating authority is satisfied that a default has occurred, an interim resolution professional (IRP) is appointed to manage the affairs of the company. The company's board is considered dissolved, and all management personnel are required to report to the IRP. The IRP is also responsible for collating the list of amounts outstanding.

According to Regulation 22, a research analyst or research entity distributing a third party research report should review the third party research report for any untrue statement of material fact or any false or misleading information.

The Pension Fund Regulatory Development Authority (PFRD was set up with the primary responsibility of promoting old age income security by establishing, developing, and regulating pension funds in Indi

Individuals registered as research analysts should have a professional qualification or post-graduate degree in relevant fields such as finance, accountancy, business management, commerce, economics, capital market, or financial services, provided by recognized universities or institutes. Additionally, a graduate degree with at least five years of experience in activities related to financial products or markets is also acceptable.

According to Regulation 16 of the SEBI (Research Analyst) Regulations, trading in securities recommended or followed by the research analyst is prohibited within thirty days before and five days after the publication of a research report.

Research analysts or individuals employed as research analysts are prohibited from engaging in business activities designed to solicit investment banking or merchant banking or brokerage services business, such as sales pitches and deal road shows. They are also prohibited from engaging in any communication with a current or prospective client in the presence of personnel from investment banking or merchant banking or brokerage services divisions or company management about an investment banking services transaction. They cannot engage in sales or marketing related to investment banking or merchant banking or brokerage services.

According to Regulation 15 of the SEBI (Research Analyst) Regulations, a research analyst or research entity should have written internal policies and control procedures governing the dealing and trading by any research analyst to address actual or potential conflicts of interest and to ensure the independence of research activities from other business activities.

Research analyst or research entity employing a rating system must clearly define each rating and provide the time horizon and benchmarks.