NISM exam preparation · free
NISM Series X-B: Investment Adviser (Level 2) exam preparation
Advanced planning for SEBI-registered investment advisers: insurance, retirement, tax, estate, behaviour and full financial plans.
NISM Series X-B exam pattern
NISM Series X-B syllabus, unit by unit
The exam covers 6 units. The percentage is the share of questions each unit usually carries, so spend your time in that proportion.
Unit 1 Risk management and insurance planning17%
25 marks. Identifying risks and choosing insurance to cover them.
- Principles of insurance.
- Life, health and general cover.
- Needs analysis.
- Product choice.
Unit 2 Retirement planning20%
30 marks. Sizing the corpus, choosing instruments, and planning the payout.
- Retirement needs and corpus.
- EPF, PPF, NPS and annuities.
- Withdrawal strategies.
- Longevity and inflation.
Unit 3 Taxation13%
20 marks. Tax treatment of income and investments, and tax-efficient planning. Rates change; check the latest law.
- Heads of income.
- Capital gains.
- Deductions and regimes.
- Tax-efficient investing.
Unit 4 Estate planning13%
20 marks. Passing wealth smoothly through wills, nominations, trusts and succession law.
- Wills and probate.
- Succession laws.
- Trusts.
- Nomination versus legal heirs.
Unit 5 Behavioural finance7%
10 marks. Recognising biases in clients and in oneself.
- Cognitive and emotional biases.
- Prospect theory.
- Managing client behaviour.
Unit 6 Comprehensive financial advice30%
45 marks, the largest module. Putting everything together: process, regulation, risk profile, allocation, plan and review. Most case studies sit here.
- Planning process.
- SEBI IA regulations.
- Risk profile and asset allocation.
- Goals, cash flow and net worth.
- Case-style problems.
Try 4 sample questions
These are from Mock 1. Open the free mock to see the correct answer and the reason behind each one.
Q1. Which term is described here? A safe rate such as around 4% of the initial corpus, adjusted for inflation, is used as a rule to avoid depletion.
- Glide path
- Proximate cause
- Safe withdrawal rate
- Guardian for minors
Q2. Which statement best describes “Tax harvesting”?
- Booking long-term gains up to the exemption limit each year and re-investing can reduce future tax.
- The real return is the return after adjusting for inflation, roughly nominal less inflation.
- The bucket approach holds near-term needs in safe assets and long-term money in growth assets.
- Gifting during life transfers ownership immediately via a gift deed, and property gifts require registration.
Q3. Which statement best describes “Trust”?
- The human life value approach sets cover as the present value of the future earnings that the family would lose.
- CAPM gives the required return as the risk-free rate plus beta times the market risk premium.
- A trust holds property for the benefit of others under a trustee, allowing control, privacy and protection.
- The way information is presented influences the decision, even when facts are the same.
Q4. Which term is described here? Risk profiling assesses a client's willingness, ability and need to take risk before recommending investments.
- Net worth statement
- Suitability
- Risk profiling
- Inheritance tax
How to prepare for NISM Series X-B
- Download the study guide and read the first three pages.
- Study the biggest units first. Their weight shows on this page.
- Take Mock 1 after one pass through the guide.
- Move to the next mock only when you clear the pass mark by 15 marks.
- Redo every wrong answer. Each one names its unit.
The app also lists your weak units after each mock and runs in English, Hindi or Gujarati. Mock tests and study material are in English.
Frequently asked questions
How many questions are there in NISM Series X-B?
The NISM Series X-B (Investment Adviser (Level 2)) exam has 120 multiple-choice questions carrying 150 marks, to be answered in 180 minutes.
What is the passing score for NISM Series X-B?
The pass mark is 60%. Aim to clear 75% in practice mocks before you book the real exam.
Is there negative marking in NISM Series X-B?
Yes. The negative marking is 25% of marks. Practise leaving a question blank when you are unsure.
Is the NISM Series X-B study guide free?
Yes. UpperCrust Academy gives a free 38-page study guide PDF for NISM Series X-B, written unit by unit.
Are the NISM Series X-B mock tests free?
Yes. You get 5 full-length mock tests with the answer and the reason for every question. Sign in once with your mobile number or Google to start.
Is this affiliated with NISM?
No. UpperCrust Academy is independent preparation material from UpperCrust Wealth. Confirm the latest syllabus and exam rules on the official NISM website.
More NISM exams
UpperCrust Academy is independent study material from UpperCrust Wealth. It is not affiliated with NISM, SEBI or AMFI. For education only. Not investment advice. Always confirm the latest syllabus and rules on the official NISM website.