Examination Overview - NISM Series XIII: Common Derivative Certification Mock Test
The NISM Series XIII: Common Derivatives Certification Examination is a mandatory certification introduced by the National Institute of Securities Markets (NISM) to establish a minimum knowledge benchmark for approved users and sales personnel of trading members operating in the Equity Derivatives, Currency Derivatives, and Interest Rate Derivatives segments of recognized stock exchanges.
This exam is especially important today as mutual fund distributors must now clear it to be eligible to distribute Specialised Investment Funds (SIFs). Successful candidates become eligible to act as approved users or sales representatives in derivative trading roles, making it a vital step for professionals in India’s capital markets.
The examination provides a comprehensive understanding of exchange-traded derivative products, including their market structure, regulatory framework, associated risks, and clearing and settlement mechanisms. It also covers critical topics related to the Indian financial system and securities market regulations, particularly those governing exchange-traded derivatives.
This certification effectively combines the core knowledge areas of three separate NISM modules — Currency Derivatives, Interest Rate Derivatives, and Equity Derivatives — into one unified exam, offering a broad yet focused qualification for capital market professionals.
Examination Objectives
On successful completion of Common Derivative Certification Mock Test, the candidate should:
Know the basics of the Indian derivatives market (covering Equity Derivatives, Currency Derivatives and Interest Rate Derivatives).
Understand the various trading and hedging strategies that can be built using futures and options.
Understand the clearing, settlement and risk management as well as the operational mechanism related to the derivatives markets.
Know the regulatory environment in which the derivatives markets operate in India
For more details, please visit the official website of
NISM.
Assessment Structure
| Component |
Details |
| Mode of Exam |
Online (Computer-Based Test) |
| Language Options |
English |
| Number of Questions |
150 |
| Type of Questions |
Multiple Choice Questions (MCQs) |
| Total Marks |
150 |
| Marks per Question |
1 mark |
| Passing Criteria |
60% (You need at least 90 correct answers) |
| Negative Marking |
25% of the marks assigned to the question |
| Exam Duration |
3 Hours (180 Minutes) |
| Exam Fee |
Rs. 3,000 (inclusive of GST) + payment gateway charges extra |
| Result Declaration |
Immediately after exam completion |
| Certificate Validity |
3 Years from the date of passing |
| PAN Requirement |
PAN must be updated in your profile to apply |
| Exam Delivery Modes |
At 150+ NISM test centers across India |
Syllabus Outline – Common Derivatives Certification Examination
| Module |
Key Topics |
| 1. Basics of Derivatives |
Types, Evolution, Market Participants, Risks, OTC vs Exchange-Traded |
| 2. Underlying Markets |
Equity, Currency, Debt Markets, Risk & Return, Interest Rate Concepts |
| 3. Forwards & Futures |
Contracts, Payoffs, Pricing, Currency & Interest Rate Futures |
| 4. Futures Strategies |
Hedging, Speculation, Arbitrage using Equity, Currency & IRF |
| 5. Introduction to Options |
Calls & Puts, Moneyness, Option Pricing, Greeks, Payoffs |
| 6. Option Strategies |
Spreads, Straddle, Strangle, Collar, Covered Call, Butterfly |
| 7. Trading, Clearing & Risk Management |
Systems, Margins, MTM, Risk Controls, Settlement Process |
| 8. Legal & Regulatory Framework |
SEBI, RBI, FEMA Rules, Committee Reports, Reporting Standards |
| 9. Accounting & Taxation |
Accounting treatment and Taxation of Derivatives |
| 10. Code of Conduct & Investor Protection |
KYC, Risk Profiling, Best Sales Practices, Complaint Redressal |
Frequently Asked Questions – NISM Common Derivatives (Series XIII)
It is a combined module certification from NISM that includes Currency, Interest Rate, and Equity Derivatives. It helps professionals meet compliance standards and advance in the derivatives segment.
This exam is ideal for brokers, mutual fund distributors, and sales professionals working with derivatives who need SEBI-mandated certification.This certification is mandatory for professionals looking to sell Specialised Investment Funds (SIFs) and for those working in the derivatives segments of recognized stock exchanges.
The exam consists of 150 multiple-choice questions (MCQs) of 1 mark each, to be completed in 3 hours. The passing score is 60%, and 25% negative marking applies.
The certificate is valid for 3 years from the date of the exam.
No, the NISM exam is conducted at authorized test centers only. Online/home attempts are not currently permitted.
It covers Basics of Derivatives, Futures & Options, Equity/Currency/Interest Rate Derivatives, Trading Strategies, Risk Management, and Regulatory Framework.
Yes, there is 25% negative marking. For every incorrect answer, 0.25 marks are deducted.
Yes, This exam is especially important today as mutual fund distributors must now clear it to be eligible to distribute Specialised Investment Funds (SIFs). Successful candidates become eligible to act as approved users or sales representatives in derivative trading roles, making it a vital step for professionals in India’s capital markets.
Yes, NISM workbook is avaialable of the the official website www.nism.ac.in, in PDFs and word format. However, platforms like NISMExams.in offer updated mock tests online with explanations and short notes in form of PDF's, which are more effective for preparation.
You can attempt each mock test up to 15 times in the 15-day or 30-day plan, allowing for deep practice and improvement.
Yes, purchasing the 3-in-1 combo pack gives you access to Currency, Interest Rate, and Equity Derivatives mock tests in a single bundle.
Absolutely. All questions are regularly updated to match the latest syllabus and exam patterns issued by NISM.
Yes. You can choose between 15-day and 30-day validity options depending on your preparation needs.
Yes, the platform is fully responsive. You can access your tests on smartphones, tablets, and desktops.
No installation required. You can access everything directly via our secure website.
Yes. Every answer includes a detailed explanation to help you understand the concepts thoroughly.
Your dashboard shows your scores, accuracy, attempted questions, and performance improvement over time.
Yes. Our support team is available on email and phone to assist you with technical or exam-related questions.
Yes. We offer a free demo test so you can experience the quality of questions and interface before buying.
We accept UPI, Credit/Debit Cards, Net Banking, and major wallets via secure payment gateway integration.
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