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 |
Be SEBI-compliant. Be prepared. Be certified.
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Frequently Asked Questions – NISM Common Derivatives (Series XIII)
The NISM Series XIII: Common Derivatives Certification Exam is a unified certification from NISM. It brings together knowledge of Currency, Interest Rate, and Equity Derivatives. This certification helps financial professionals meet regulatory compliance and advance their careers in the dynamic derivatives market.
This exam is essential for financial professionals who work with derivatives and require SEBI-mandated certification. It is particularly ideal for brokers, mutual fund distributors, and sales personnel. This certification is mandatory for those involved in selling Specialised Investment Funds (SIFs) and for approved users/sales personnel operating in the Equity, Currency, and Interest Rate Derivatives segments of recognized stock exchanges.
The NISM Common Derivatives Certification exam consists of 150 multiple-choice questions (MCQs), with each question carrying 1 mark. You will have 3 hours (180 minutes) to complete the exam. A passing score of 60% is required, and there is 25% negative marking for incorrect answers.
The NISM Series XIII certificate is valid for three years from the date you successfully pass the examination.
No, the NISM Common Derivatives Certification exam cannot be taken online from home. It is strictly conducted at authorized NISM test centers across India to ensure exam integrity.
The Common Derivatives Certification covers a comprehensive range of subjects, including: Basics of Derivatives, Futures & Options, detailed knowledge of Equity, Currency, and Interest Rate Derivatives, various Trading Strategies, Risk Management, and the Legal & Regulatory Framework governing these markets.
Yes, there is 25% negative marking in the NISM Common Derivatives Certification exam. This means that for every incorrect answer, 0.25 marks are deducted from your total score.
Yes, the NISM Series XIII: Common Derivatives Certification iswidely recognized and highly valued across the Indian financial industry. It is particularly crucial as it enables professionals, including mutual fund distributors, to be eligible to distribute Specialised Investment Funds (SIFs). Furthermore, successful candidates are qualified to act asapproved users and sales representatives in the equity, currency, and interest rate derivative trading segments, making it a vital credential for career advancement in India’s capital markets.
Yes, the official NISM workbook for this exam is available in PDF and Word format on the NISM official website (www.nism.ac.in). Additionally, platforms like NISMExams.in offer updated online mock tests with detailed explanations. We also provide short notes in PDF format, which are designed to be highly effective for your comprehensive exam preparation.
You can attempt each mock test up to 15 times within your chosen plan (15-day or 30-day access). This generous limit allows for extensive practice, deep understanding, and continuous improvement until you feel fully prepared.
Yes, absolutely! When you purchase our 3-in-1 combo pack, you gain immediate access to mock tests covering all three subjects: Currency Derivatives, Interest Rate Derivatives, and Equity Derivatives in a single, convenient bundle.
Absolutely. Our mock tests are regularly and meticulously updated to ensure they always align with the latest syllabus and exam patterns officially issued by NISM. This guarantees you are always preparing with the most current information.
Yes. You can choose between 15-day and 30-day validity options depending on your preparation needs.
Yes, our platform is fully responsive and mobile-friendly. You can seamlessly access and attempt your mock tests on smartphones, tablets, and desktops, allowing you to study anytime, anywhere.
No, no app installation is required. You can conveniently access all our mock tests and study materials directly through your web browser on our secure website.
Yes, absolutely! Every question in our mock tests comes with a detailed, easy-to-understand explanation for the correct answer. This helps you grasp the underlying concepts and reasoning, transforming each practice question into a valuable learning opportunity.
Through your personalized dashboard, you can easily track your progress and performance. It provides insights into your scores, accuracy rates, number of attempted questions, and shows your overall performance improvement over time, helping you focus on areas that need more attention.
Yes, we are committed to your success. Our dedicated support team is readily available via email and phone to assist you with any technical issues or exam-related questions you may have during your preparation.
Yes, we offer a free demo test for the NISM Series XIII: Common Derivatives Certification. This allows you to experience the quality of our questions and the user-friendly interface before making a purchase decision.
We accept a wide range of secure payment methods for your convenience, including UPI, Credit/Debit Cards, Net Banking, and major digital wallets. All payments are processed via a secure payment gateway to ensure your transaction is safe.
For best results, we recommend a three-step approach:
1. Attempt a mock test to identify your current knowledge level and weak areas.
2. Review the detailed explanations for both correct and incorrect answers to understand concepts thoroughly.
3. Utilize your performance analytics dashboard to track improvement and focus your revision on specific topics. Repeat this cycle until you feel confident and consistent in your scores.
You can start practicing immediately after your purchase is successfully completed. Our system provides instant access to the mock tests and study materials, so you can begin your preparation without any delay.