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SEC EXAM
Contributed by: Goodluckprince
(Original author: College)
  • 1. 1. What is RIBA in Islamic Finance
A) Sukuk Sukuk is the Arabic name for financial certificates, also commonly referred to as "sharia compliant" bonds
B) all of the above
C) interest, In Islamic finance, riba refers to interest charged on loans or deposits. Religious practice forbids riba, even at low interest rates, as both illegal and unethical
D) Haram forbidden or unlawful. In the case of Islamic finance,
  • 2. 2. PEPs, means __________to a CMO
A) billionaire
B) politician
C) A high-net-worth individual and a politically exposed person
D) a millionaire
  • 3. 3. Cum Div Date means _____________
A) the last day of transaction that will qualify for dividend same as qualification date
B) Date in borrowing
C) Date in imprisonment
D) Date in lodgment
  • 4. 4. Which of the following regulates the capital market?
A) The CBN
B) The SEC
C) GTB, Zenith, UBA, and custodians
D) The CIBN
  • 5. 5. Securities and Exchange Commissions Act according to (Okigbo Panel) was __________
A) 1979
B) 1978
C) 1976
D) 1977
  • 6. 6. Investments and Securities Act according to (Odife Panel) was _______
A) 1999
B) 1909
C) 1998
D) 1996
  • 7. 7. one of the function of SEC is to ........................
A) charitable purpose using Fund
B) Act as the apex regulatory body for the Nigerian capital market
C) buy big cars and big houses for CMO
D) make Loss and Gain
  • 8. 8. IFRS is _____________ base
A) rule
B) principles
C) prinpal rate time equal to 100
D) rules
  • 9. 9. IFRS and GAAP means ____________
A) Generally accepted accounting price
B) International Financial Reporting Standards, Generally accept
C) None of the above
D) International Financial Reporting Standards, Generally accepted accounting principles
  • 10. 10. Capital markets are of _________ major types.
A) two primary and secondary
B) three bond, equity and derivatives
C) seven six bond, equity, derivative pri, sec stock, capital market money market
D) six bond, equity, derivative pri, sec stock
  • 11. 11. The primary market is where __________ are created.
A) money
B) securities
C) goods
D) second hand
  • 12. 12. Examples of financial securities are as following except
A) bond
B) shares
C) money
D) stock
  • 13. 13. ____________ serves as a link between savers and investors.
A) capital market
B) money market
C) labour market
D) commodity market
  • 14. 14. The secondary market is also known as
A) aftermarket
B) market
C) store
D) Agbara Market
  • 15. 15 SEC means...................
A) The Standard and Exchange Commission
B) The Specimen and Exchange Corporation
C) The Security and Exchange Commission
D) Securities and Exchange Commission
  • 16. 16. public companies are required to file with the Commission on a periodic or annual basis, their audited financial statements and other returns which may be prescribed by the Commission from time to time, this is in which section
A) Section 61
B) Section 60
C) Section 56
D) Section 55
  • 17. 17. Registration of securities is in________section of the ISA 2007
A) Section 55
B) Section 54 - 66
C) Section 56
D) Section 61
  • 18. 18. ___________ supplies funds for fixed capital requirements.
A) Capital market
B) labour market
C) common market
D) money market
  • 19. 19. ___________ involves lending and borrowing for long term finance
A) Capital market
B) Commodity market
C) Common market
D) Money market
  • 20. 20. A retailer bought 10 refrigerators at #60,000 each with 5% discount allowed, calculate the discount allowed.
A) #30,000
B) #3,000
C) #45,000
D) #60,000
  • 21. 21. A retailer bought 10 refrigerators at #60,000 each with 5% discount allowed by seller. Calculate the amount payable by the retailer.
A) #570,000
B) #600,000
C) #30,000
D) #60,000
  • 22. 22. _____________ was the year Money Laundering (Prevention & Prohibition) and Terrorism (Prevention & Prohibition) in Nigeria
A) 2022
B) 2024
C) 2035
D) 1999
  • 23. 23. ---------------provides that no person shall operate in the Nigerian capital market as an expert or professional or in any other capacity without being registered with the Commission.
    .
A) Section 38 ISA 2007
B) NGX rules and regulations
C) SEC rules
D) CBN laws
  • 24. 24. ___________ stipulates that a capital market operator shall maintain separate accounts for transactions carried out on behalf of different clients.
A) Section 40 ISA 2007
B) SEC rules
C) CBN laws
D) Section 38 ISA 2007
  • 25. 25. ______________what section allows the SEC to Inspections, Investigations and use Commission powers to intervene in the affairs of a distressed capital market.
A) ISA 44
B) ISA 49
C) ISA 45 – 53
D) ISA 47
  • 26. 26. ____________ are the EFFECTS OF ML/TF ML except
A) Loss of lives and property Social instability, Loss of lives and property Social instability
B) Discourage FDI, distort international capital flows
C) make every citizen super rich in all they do
D) Negative consequences for a country’s financial stability and macroeconomic performance 
  • 27. 27. Gross profit is total sales less ___________
A) total sales
B) total costs
C) total amount
D) total revenue
  • 28. 28. What must be deducted from gross profit to arrive at net profit?
A) Purchases
B) Sales
C) Overhead costs
D) Return inwards
  • 29. 29. why ML/CFT occur
A) greed only
B) poverty only
C) unethical system only
D) Lack of Moral Principles, Unethical Capitalism, Greed, Poverty, Ignorance, Injustice (Perceived)
  • 30. 30. what is the usefulness of statement of cash flow ________
A) Sales
B) Make up
C) provide cash movement
D) Discount allowed
  • 31. What are the elements of financial reporting ______
A) Selling
B) assets, liabilities, fund balance/net assets, revenues, expenditures, and expenses
C) fund
D) buying
  • 32. What are Quantitative characteristics of financial reporting____________
A) violence
B) selfishness
C) faithful representatives, relevant
D) greed
  • 33. ___________are the some of the objectives of financial reporting
A) Managing cash flow Financial reporting Regulatory compliance Enhanced Transparency Decision-making Preparing financial statements Assess financial performance and position Kickstarting budgets and forecasts Meeting regulatory requirements
B) purity
C) sincerity
D) trusthfulness
  • 34. some of these are way we prevent corporate failure _______
A) transparency
B) good corporate governance, Audited Account Auditory, accountability, transparency, responsibility, fairness, independence
C) Auditory
D) Audited
  • 35. why is corporate Governance important ________
A) business growth and continuity
B) fair sharing
C) more money more problem
D) competition
  • 36. Derivatives contract help ____
A) food shortage
B) To mitigate against prices and loss, market efficiency, liquidity to investors,
C) relationship in derivatives market
D) liquidity
  • 37. out of the money means ______
A) you gain
B) you win
C) you are good
D) that you lost in the price
  • 38. in the money Is call ----------
A) loss
B) gain
C) all of the above
D) you win
  • 39. in ML/CFT Poverty,

    Ignorance,
    and
    Injustice (Perceived) is a ____________factor
A) LOSE
B) PUSH
C) CHOSE
D) PULL
  • 40. PUT is a ..........
A) seller
B) casher
C) layer
D) buyinger
  • 41. CALL is
A) fighter
B) buyer
C) winner
D) seller
  • 42. Call options means _________
A) is buying at a predetermined amount of a commodity
B) love calling
C) predestine
D) all of the above
  • 43. what is mark to market
A) Mark-to-market or fair value accounting is accounting for the "fair value" of an asset or liability based on the current market price, or the price for similar assets and liabilities, or based on another objectively assessed "fair" value.
B) Kennedy chain
C) unfair
D) luck
  • 44. what is futures,
A) payment that has no futures
B) loan without payment
C) payment of future loan and liabilities
D) In finance, a futures contract is a standardized legal contract to buy or sell something at a predetermined price for delivery at a specified time in the future, between parties not yet known to each other. The asset transacted is usually a commodity or financial instrument
  • 45. Futures contracts traded in exchange margin settled ---------------
A) yearly
B) twice a year
C) daily
D) monthly
  • 46. what are OTC
A) over the conterfit
B) over the counter
C) over the conternedd
D) over the candided
  • 47. Forward Contract must have a --------
A) delivery date
B) destination
C) goods
D) cash
  • 48. There are ____types of options types
A) 4
B) 3
C) two ----Call options and PUTS options
D) 12
  • 49. arbitrageurs means__________
A) not producing but can buy and sell to make profit they know who need the products buy low sell high
B) no money to buy
C) no debtors
D) no creditors
  • 50. market speculator are________
A) product that price will go up soon buying and selling taking position, for profit reasons
B) market speculator inspectators
C) movers of market
D) speculator
  • 51. market manipulator are ________ product
A) normal
B) peoples "transactions which create an artificial price or maintain an artificial price for a tradable
C) good price
D) strenge price
  • 52. The three 3 stages of money laundry are ____ _______ and ________
A) layering placement and integration
B) all of the above
C) programe fund raising, placement in the market, mixing
D) programe fund raising, disguising the Fund, procurement of proliferation sensitive material and technology
  • 53. Which of the following is not a type of security traded on the Nigerian Stock Exchange?
A) Stocks
B) Bonds
C) Real Estate
D) Mutual Funds
  • 54. Which regulatory body is responsible for overseeing the Nigerian Stock Exchange?
A) Nigerian National Assembly
B) Nigerian Securities and Exchange Commission
C) Central Bank of Nigeria
D) Nigerian Investment Promotion Council
  • 55. What is the current status of the Nigerian Stock Exchange in terms of demutualization?
A) Partially demutualized
B) Fully demutualized
C) demutualization
D) In the process of
  • 56. Which of the following sectors had the highest market capitalization on the Nigerian Stock Exchange as of April 2023?
A) Industrial Goods
B) Oil and Gas
C) Consumer Goods
D) Financial Services
  • 57. Which of the following is not a major stock index tracked by the Nigerian Stock Exchange?
A) NSE Industrial Index
B) NSE 30 Index
C) NSE Banking Index
D) NSE Europe Index
  • 58. these following Nigerian billionaires has a significant stake in the Nigerian Stock Exchange Except?
A) prince Mase
B) Tony Elumelu Mike Adenuga
C) Mike Adenuga Mike Adenuga
D) Femi Otedola Mike Adenuga
  • 59. What is the minimum market capitalization required for a company to be listed on the Nigerian Stock Exchange’s Main Board?


    D. N
A) 3.2 billion
B) 1billion
C) not less than 50 billion
D) half billion
  • 60. Which of the following technologies has the Nigerian Stock Exchange implemented to improve the efficiency of its trading platform?
A) Augmented Reality
B) all of the above
C) Blockchain
D) Quantum Computing Artificial Intelligence
  • 61. Who is the current chairman of the Nigerian Stock Exchange (NSE)
A) Samuel Oni
B) Aigboje Aig-Imoukhuede
C) Mohammed Garuba
D) Simdi Okoro
  • 62. Who is the current chairman of the SEC
A) Samuel Adesujo Ademulegun
B) Simdi Okoro
C) Mohammed Garuba
D) Samuel Oni
  • 63. What is the current market capitalization of the Nigerian Stock Exchange (NSE) as of April 2023?
A) NGN 6.9 trillion
B) NGN 56.9 trillion
C) NGN 5.9 trillion
D) NGN 50 trillion
  • 64. Which Nigerian Tech company became the first African company to list on the New York Stock Exchange (NYSE) in 2019?
A) Dangote
B) Jumia
C) mtn
D) Zenith
  • 65. In which year was the Nigerian Stock Exchange (NSE) established?
A) 1914
B) 1960
C) 1989
D) 1999
  • 66. In which year was SEC established?
A) 2014
B) 1991
C) 1977
D) 1979.
  • 67. What is the name of the Nigerian sovereign wealth fund that invests in Nigerian infrastructure and other projects?
A) all of the above
B) Nigeria Sovereign Investment Authority (NSIA)
C) Nigeria Sovereign Fund (NSF) Which Nigerian stock brokerage firm was suspe
D) Nigerian Infrastructure Fund (NIF) Nigerian Investment Fund (NIF)
  • 68. Which Nigerian stock brokerage firm was suspended by the Nigerian Stock Exchange (NSE) in 2020 for violating market regulations?
A) zenith
B) Dangote
C) gtb
D) Briscoe (Nigeria) Plc, Union Dicon Salt Plc and Capital Oil Plc
  • 69. The document governing public documents is called ------------
A) suspense
B) book
C) A prospectus
D) tool
  • 70. what is Merger Takeover and Acquisition
A) merging group
B) Mergers and acquisitions are business transactions in which the ownership of companies, business organizations, or their operating units are transferred to or consolidated with another company or business organization. This could happen through direct absorption, a merger, a tender offer or a hostil
C) block chain
D) lovetogether
  • 71. What is the full meaning FCCPC
A) Federal Competition and Consumer Protection Commission
B) Federal Protection Commission
C) Federal Competition and Consumer commission
D) Federal Consumer Protection Commission
  • 72. crowdfunding Minimum percent of an offer is------------subscription
A) 50%
B) 10%
C) 30%
D) 20%
  • 73. crowdfunding public offer should be between__________
A) 1 week
B) 4 weeks and other 2 weeks 6 weeks
C) 15 weeks
D) 2 week
  • 74. CMOs cash limited is _______with cash transactions
A) 20,000 is the Threshold allowed for cash transaction for CMO
B) 40,000 is the Threshold allowed for cash transaction for CMO
C) 30,000 is the Threshold allowed for cash transaction for CMO
D) 50,000 is the Threshold allowed for cash transaction for CMO
  • 75. _____section stipulates that a securities dealer, investment adviser, underwriter or an associated person of a securities dealer should disclose any likely conflict of interest with respect to the securities he is dealing with
A) Section 80
B) Section 100
C) Section 10
D) Section 50
  • 76. the Sanction for manipulating market is_______
A) 500,000 is the section for giving out loans to staff to manipulate market.
B) 200,000
C) 50,000
D) daily sanction of 12,000
  • 77. Collective investment scheme financial base -----------
A) 10m
B) 2m
C) 100m, professional fund, building
D) 4m
  • 78. CIS means _______
A) Collection investment scheme
B) Collective invest scheme
C) Collective investment school
D) Collective investment scheme
  • 79. _________is the use of investors protection funds
A) fund to spending
B) fund for thief
C) a fund to cater for that issues like professional misconduct …….insurance
D) fund to use
  • 80. _________is the amount use for small merger
A) below 500,000……
B) 30billion
C) 1billion
D) 2billion
  • 81. __________ is the amount require in large merger
A) 1billion
B) above 5 billion
C) 2billion
D) half billiom
  • 82. how many member forms the IST ……….
A) 9
B) 10
C) 5
D) 2
  • 83. what is IST
A) investment securities tribunal
B) all of the above
C) insider security
D) invest securities tribunal
  • 84. _________can sue SEC yes but Pre action notice ----------
A) 1 day
B) 14day
C) 6 day
D) 4 day
  • 85. what is takeover bid
A) Takeover bid an offer that is use to take control terrorism
B) Takeover bid an offer that is use to take control of cmo
C) Takeover bid an offer that is use to take control of company usually 51 percent above
D) Takeover bid an offer that is use to take control of someone's wife
  • 86. what is the full meaning of ML/CFT
A) Money Laundering and Combating the Financing
B) bad cash Anti-Money Laundering and Combating the Financing
C) cool Anti-Money Laundering and Combating the Financing
D) Hopeful Money Laundering and Combating the Financing
  • 87. who are custodians
A) is a securities dealer
B) is a bank
C) A custodian bank, or simply custodian, is a specialized financial institution responsible for providing securities services. It provides post-trade services and solutions for asset owners, asset managers, banks and broker-dealers. It is not engaged in "traditional" commercial or consumer/retail bank
D) financial insgtitions
  • 88. Responsibility of company internal control functions rest on ----------
A) manager
B) you
C) Board of Directors
D) ceo
  • 89. -------------are responsible for signing of official audited accounts
A) Auditor
B) manager
C) CFO/ MD
D) SEC
  • 90. what is Fidelity bond
A) to finance govt
B) fund keept for investment
C) Fidelity bond, is an insurance cover over protection
D) fund use for terrorism
  • 91. What is ISPO
A) FGovt standing order to pay back in case of default
B) Govt money
C) paper investment
D) money in bank
  • 92. how many members constitute investor protection fund
A) 3 members
B) 2 members
C) 9 members
D) 5 members
  • 93. how many members constitute the board of SEC
A) 9 members
B) 10 members
C) 2members
D) 5 members
  • 94. What is the amount of sanction a CMO will pay if they cant produce the following record ……………..500,000
A) 400,000
B) 500,000
C) 200,000
D) 300,000
  • 95. what are the funding sources of the Tribunal ……..
A) fid income
B) tax
C) stolen money
D) Subvention from Govt and other donations
  • 96. Market dealers that hold like liquidity two way source is called …..
A) killer
B) market makers
C) twin
D) lover
  • 97. SROs report is to get to SEC in ------days
A) 6 working days
B) 4 working days
C) 7 working days
D) 5 working days
  • 98. what is the full meaning of CSD
A) central securities deposito
B) central securities depository
C) central securities depository CSD
D) central security depository
  • 99. Delivery VS free means ____
A) GDP payment
B) low payment
C) for quadrilateral payment with asset
D) hight payment
  • 100. what is dual listing ________
A) poor listing
B) duplicate listing
C) listed in both side
D) single side listing
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