NISM PracticeHow to prepare for a NISM examination
NISM examinations are set from the official workbook for each module. The surest preparation is that workbook, read properly, and then tested.
Start from NISM's own material
For every certification examination NISM publishes three things on the module's page: the test objectives, which say what a candidate is expected to know from each unit; the curriculum, which lists the units and topics; and the workbook, the study text on which the examination is based. NISM's website has a section for downloading workbooks free of charge and another for buying printed copies.
Always use the current workbook from nism.ac.in. Workbooks are revised, and a paper is set on the edition in force. Do not rely on an old PDF passed around in groups, or on notes that claim to "cover everything in ten pages".
A four-week plan
Most candidates with a job or college to attend can prepare for a 100-mark module in about four weeks at one to two hours a day. Adjust to the size of your workbook and your background.
| Week | Work |
|---|---|
| 1 | Read the test objectives and curriculum. Read the first third of the workbook, one chapter a day. After each chapter, write its main points from memory on one page. |
| 2 | Read the middle third. Begin practice questions on the chapters already read. Keep a list of terms and formulas. |
| 3 | Read the last third. Practise calculations until they are quick. Re-read the chapters where practice showed gaps. |
| 4 | Revise from your one-page summaries. Take timed practice tests. Go back to the workbook for every question you got wrong. |
How to read the workbook
- Read the test objectives for the chapter first. They tell you what to look for.
- Read with a pen. Underline definitions, lists, differences between similar things, and anything with a number.
- Close the book and recall. After each section, say or write what it said. Recall, not re-reading, is what fixes it in memory.
- Work every example. Cover the solution and try it yourself.
- Note what is regulatory. Rules, limits, timings and roles of institutions are asked directly. Learn them from the current workbook, since they change and old figures in memory or on websites may be wrong.
What kinds of question to expect
NISM describes its examinations as multiple choice, and some modules add case-based questions. From the test objectives, questions fall broadly into four kinds:
- Definitions and concepts: what a term means, which statement is correct.
- Roles and structure: who does what, who regulates what.
- Rules: what is permitted, required or prohibited.
- Calculations and applications: NAV, returns, payoffs, ratios; choosing a suitable product for a described investor.
Our own practice questions are written in these four kinds. They are not NISM's questions, and no site can honestly offer those: NISM states that its question bank is confidential.
Using practice questions well
- Practise only chapters you have already read; otherwise you are guessing.
- For every wrong answer, find the paragraph in the workbook and read it again.
- For every right answer you were unsure of, do the same.
- Keep an error list and re-attempt those questions after three days.
- In the last week, practise in mock mode with the timer and, where the module has it, the negative marking.
Calculations
Marks on calculations are the most reliable in the paper, because there is no ambiguity. Make sure you can do each type in the module without hesitation. For mutual fund papers: NAV, units allotted, redemption value after exit load, absolute return and CAGR. For derivatives: futures profit and loss, option payoff, break-even, intrinsic and time value. Our pages on NAV and returns, option payoffs and futures pricing work through them, and the formula sheet gathers them.
The last two days
- Revise summaries, the formula sheet and your error list. Do not start new material.
- Take one full timed practice test and review it.
- Check your examination details: date, time, centre or mode, and what you must carry, on NISM's candidate instructions.
- Sleep properly. A tired mind misreads "not" and "except".
If you do not pass
Note which units felt weak while it is fresh, re-read those chapters, and enrol again. Many candidates pass on a second attempt after a failed first; the difference is usually having read the whole workbook instead of half.
A caution about "guaranteed pass" material
Be wary of sellers who claim to have the real questions, or who promise a pass. Using leaked or copied questions, if it were even possible, would breach NISM's rules on unfair practice, which are published on its website. The purpose of the certification is that the holder knows the subject; clients and employers will rely on that.
Questions candidates ask
Which book should I study for a NISM exam?
The current official workbook for your module, from nism.ac.in, along with the test objectives and curriculum on the module's page.
How many days are needed to prepare?
About four weeks at one to two hours a day suits most candidates for a 100-mark module. It depends on the workbook's length and your background.
Are your practice questions the real NISM questions?
No. They are our own questions on the subject. NISM's question bank is confidential.
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An independent practice site. NISM is the National Institute of Securities Markets. This site is not connected with, approved by or paid by NISM or SEBI, and uses none of their logos. The questions are our own; none is taken from NISM's question bank, workbooks or mock tests, and a score here does not predict a result. Examination facts were read on nism.ac.in on 12 November 2026 and can change: check the page of your module on nism.ac.in before you pay or prepare. Nothing here is investment advice.