Banking knowledge / Financial awareness

1. Who are the parties to a letter of Credit?
Ans: Buyer, Opening Bank /Branch,    Seller, Negotiating Bank/ Branch

2. What are the basic principles of portfolio management?
Ans: It is the portfolio that matters,      Large portfolio returns come                  only with a larger portfolio risk,            The risk associated with a type of          security depends on when the                investment os liquidated,                        Diversification work

3. Basel committee on Banking Supervision (BCBS) first came out in which year for capital accord for banks?
Ans: 1988

4.Basel Report II is also called as what?
Ans: International Convergence of        Capital Measurment and Capital            Standards - A Revised                                Framework 2004

5. What are the 3 pillars of Basel II?
Ans: First pillar: Minimum capital        requirement 
Second pillar: Supervisory                        review procesd
Third pillar: Market discipline

6. What are the key principles of supervisory review under Basel II?
Ans: 1.Bank should have a process for  assessing their overall capital in  relation to their risk profile and    strategy for maintaining their        capital levels.
2. Supervisory should review and evaluate banks internal capital adequacy assessment and strategies.
3. Supervisors should expect banks to operate abobve the minimum regulatory capital ratios.
4. Supervisors should seek to intervene at an early stage to prevent capital from falling below the minimum levels required to support the risk.

7. Who started CIBIL with 40% each shareholding?
Ans: SBI and HDFC

8. Which bank has maximum Regional Rural Banks in India?
Ans: SBI

9. Initially the authorized share capital of each Regional Rural Bank is how much?
Ans: Rs. 1 crore

10. Co-operative Banks have 3 tier setup.
What are there in this set up?
Ans: 1. The state Cooperative Bank is the apex institution in a state
2. Central / District Co-operative Banks function st the district level
3. Primary Credit Societies work at the village level

11. For repyment of loan availed from Bank/NBFCs we come across a term known as EMI. In the abbreviation EMI, the letter M stands for what?
Ans: Monthly (EMI: Equated Monthly Instalment)

12. While investing in mutual funds , we come across a term called NAV. In the abbreviation NSV, the letter N stands for what?
Ans: Net(NAV: Net Asset Value)

13. The market in which long term securities such as stocks are bought and sold is commonly know as what?
Ans: Stock Market

14. Initial repayment holiday given to a borrower for repayment of loan is called as what?
Ans: Moratorium

15. Federal Reserve is the financial organization of which country?
Ans: USA

16. Debit instruments which retain their debt character and cannot acquire equity status is called as what?
Ans: Non - Convertible Debentures

17. Paul Einer, William Bordeaux are winners of which prize?
Ans: Nobel Memorial Prize in Economic Sciences/Winners 2018

18. The number of taxpayers in India increased by ______ per cent in one year?
Ans: 19.5 per cent

19. Which bank has announced the launch of its multi- option payment acceptance device "MOPAD"?
Ans: SBI

2o. Which state has topped the charts among States in terms of "Ease of Living Index" rankings launched by the Ministry of Housing and Urban Affairs (MOHUA)?
Ans: Andhra pradesh

21. Electoral Bond shall be valid for ____ days from the date of issue.
Ans: 15 days

22. Which PSBs has signed an agreement with CDSL?
Ans: Bank of Baroda

23. UN member countries are expected to present their Voluntary National Review (VNR) on the implementation of which of the following?
A) Space travels
B) SDGs
C) Entertainment events
D) cultural events
E) None of these

Ans: B) SDGs

24. The government announced a scheme for informants of nenani transactions under which an individual can get a reward of up to _______ for providing information to the tax authorities .
Ans: Rs. 1 crore ( Under the Benami Transactions Informants Reward Schene2018 )

25. PM Narendra Modi launches Rashtriya Gram Swaraj Abhiyan. This scheme aims to strengthen the country's which scheme?
Ans: Panchayati Raj system

26. The Reserve Bank of India has asked banks authorized to desk in foreign exchange (Authorized Dealer-1 Banks) to share data with whom?
Ans: Directorate of Revenue Intelligence(DRI)

27. Top 5 states comparising 70% report?
Ans: Maharashtra, Gujarat, Haryana, Tamilnadu, Karnataka

28. ___________ and National Bank for Agriculture and Rural Developement have joined hands to provide collareral free credit in Telangana?
Ans : SBI

29. Which bank is ranked the number one PSU bank in digital transactions in India?
Ans: PNB

30. Karur vysya Bank is an Indian als private - sectors bank , headquartered in which state?
Ans: Tamil

31. RBI sets up the task fores on "public Credit Registry" Headed by whom?
Ans: YN Deosthalee


Comments