UPSC PYQPrelims 2025

Civil Services Examination · Question 38

Consider the following statements: I. India accounts for a very large portion of all equity option contracts traded globally thus exhibiting a great boom. II. India's stock market has grown rapidly in the recent past even overtaking Hong Kong's at some point of time. III. There is no regulatory body either to warn the small investors about the risks of options trading or to act on unregistered financial advisors in this regard. Which of the statements given above are correct?

  1. I and II only
  2. II and III only
  3. I and III only
  4. I, II and III
Show answer & explanation

Answer: (A) I and II only

Explanation

India dominates global equity options volumes and its market cap briefly overtook Hong Kong's; SEBI actively regulates and warns on this, so III is false.