About the NISM Certification Examination for Mutual Fund Distributors

About the Certification Examination for Mutual Fund Distributors

The examination seeks to create a common minimum knowledge benchmark for all persons involved in selling and distributing mutual funds including:

• Individual Mutual Fund Distributors
• Employees of organizations engaged in sales and distribution of Mutual Funds
• Employees of Asset Management Companies especially persons engaged in sales and distribution of Mutual Funds

The certification aims to enhance the quality of sales, distribution and related support services in the mutual fund industry.

Examination Objectives

On successful completion of the examination, the candidate should:

• Know the basics of mutual funds, their role and structure, different kinds of mutual fund schemes and their features
• Understand how mutual funds are distributed in the marketplace, how schemes are to be evaluated, and how suitable products and services can be recommended to investors and prospective investors in the market.
• Get oriented to the legalities, accounting, valuation and taxation aspects underlying mutual funds and their distribution.
• Get acquainted with financial planning as an approach to investing in mutual funds, and an aid for advisors to develop long term relationships with their clients.

Assessment Structure

The examination consists of 100 questions of 1 mark each and should be completed in 2 hours. The passing score on the examination is 50%. There shall be negative marking of 25% of the marks assigned to a question.

Examination Structure

The exam covers knowledge competencies related to the basics of mutual funds and how mutual fund schemes are to be evaluated, and suitable mutual fund products and services offered to investors and prospective investors.

How to register and take the examination

To find out more and register for the examination please visit www.nism.ac.in


  1. Once when you learn the basics of mutual funds and its performances, a long-term investment is possible to attain your financial goal effectively. Mutual fund market is not the same every time as it fluctuates now and then based on the share market swing.

  2. Thanks for the great information aboout what is Mutual Fund. From this i know how to select a mutual fund? thks.....

  3. Although it is an independent exam and is open to all, but since it is a higher level examination, candidates are advised to pass the NISM-Series-V-A: Mutual Fund Distributors Certification Examination before appearing for the Level 2 examination.

    All these tests will require a lot of practice and preparation. It will be a good idea to prepare and take up mock tests before going in for the final attempt. To do so, and to assess your performance on various aspects, a lot of nism mock tests are available online along with a very meaningful analysis. Portals such as www.intelivisto.com come in real handy at this very purpose. The mock tests and the performance analysis thereafter can be utilized to optimize one’s efforts to the maximum.


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