Unbeknownst to many, Noida has turned out to be a major hub for jobs in finance and investments. With an increasing number of broking companies, wealth management firms, mutual fund distributors, and fintech companies opening offices in Noida, there is certainly a need for professionals who are knowledgeable about the functioning of Indian securities market. If you have conducted some research on ways to enter this market, then you must be familiar with the concept of NISM certification.
Are you located in Noida or in any other area in NCR? Are you unsure about the value of enrolling in a NISM certification course? Read this article to learn all you need to know about NISM certification, the importance of NISM certification, and choosing the right NISM certification course for yourself.
NISM stands for the National Institute of Securities Markets, an institute established by the Securities and Exchange Board of India (SEBI) way back in 2006. As against any other private certification, NISM is endorsed directly by the regulatory body itself, and that makes all the difference.
The shocker for newcomers is that many NISM certificates aren’t simply “nice to have”; they are mandatory! For becoming a mutual fund distributor, investment advisor, research analyst, or even working in other SEBI regulated capacities, there is no legal way to pursue such a career without completing the concerned NISM exam first. That’s what distinguishes NISM from other finance courses online.
Noida is situated at the very heart of the NCR financial and corporate world. The location offers access to the finance zones of Delhi, a plethora of banks and NBFCs and an ever-increasing list of broking companies and wealth advisory firms that have opened branches in areas like Sector 62, Sector 18, and the Noida-Greater Noida Expressway.
It is not something that is emphasized enough but while preparing for a NISM examination is not only passing another multiple-choice question paper but getting to know the ins and outs of the market which comes easier when you are surrounded by the industry you are trying to get into. Coaching institutions in Noida usually tailor their batches in such a way to suit the schedule of a working person or student which can be really helpful in case you are studying alongside work or university.
And this is normally the first level of confusion, since NISM offers well over two dozen certifications modules. The following certifications are the ones which matter the most for beginners:
NISM Series V-A – Mutual Fund Distributors – This certification is the most sought after by far, and is most suited for someone who plans to work with AMCs, banks, or work independently as a mutual fund distributor. This is normally the first certification suggested to beginners.
NISM Series VIII – Equity Derivatives – Suited for someone whose interests lean towards trading, derivatives desk, or for working with broking firm dealing with F&O segments.
NISM Series X-A & X-B – Investment Adviser – Required for those planning to ultimately become a SEBI Registered Investment Adviser (RIA). This certification goes a bit deep on aspects of financial planning, portfolio construction etc.
NISM Series XV – Research Analyst – Required for those interested in working in equity research as a role either in brokerages, AMC, or independently as a research analyst.
In case you are unsure about what you want, taking the mutual fund distributors (V-A) module will prove to be the best starting point.
All coaching institutes are not the same, and since the certificate is directly going to determine your career prospects, a little bit of selective approach won’t do any harm. Here are some important criteria which will help you decide whether the institute will serve your purpose or not:
Instructors with extensive experience in the field. There is a big difference between an instructor who has just studied the theory and one who has really traded on the trading desk, managed client portfolio or analyzed markets from a professional perspective. Find an institute which employs instructors having years of experience in the stock markets, derivatives or advisory field.
Practical rather than theoretical training. The syllabus for the NISM exam in itself is quite conceptual in nature, however, learning about its practical applications in trading and investing makes it easier to remember it.
Study material in a structured format and practice tests. As the NISM exams are objective tests conducted using a computer with negative marking for some modules, practice tests conducted under test-taking conditions make a significant contribution to the end results.
Batch timings that suit you. Be it a student from a college or a professional who is currently working or planning to switch careers, your coaching institute should provide you with batch timings that suit your timetable and not the other way around.
Career guidance and placement. Good coaching institutes do not only get you prepared for the exams but also give you information on where you stand and how you can move ahead in your finance career after passing these exams.
In this regard, the institution which ticks all these boxes would be the Athworth Academy, located in the NCR region of Delhi. Known for its stock market and financial markets training courses, the academy combines the theoretical knowledge of the NISM examinations with practical experience in the market through live trading sessions. The course at the academy is designed under the guidance of market professionals, thus, providing students with an insight into how the knowledge gained from these courses can be applied in the market environment.
This will depend greatly on the module you are attempting and the familiarity you have with finance topics. For most beginners:
Joining a coaching class in Noida could significantly reduce this duration because an experienced tutor will help you concentrate on only what is necessary.
With the passing of your NISM examination, your certificate will be valid for three years, after which you will have to re-certify yourself by either appearing in the same exam again or meeting the CPE criteria required for that particular module.
The more important point about clearing your NISM certification lies in the career paths that are now open to you – dealing with mutual funds, banks, broking firms, wealth management firms, or even setting up your own advisory or distribution firm, based on whichever NISM certification you have cleared.
When it comes to making your way through the Indian financial markets in the capacity of being a distributor, an advisor, an analyst, or even a trader, then NISM certification becomes more than just adding another certificate to your resume. In many cases, having it is a requirement that makes you legally eligible to practice in your profession. Moreover, doing your preparation in Noida allows you to have a practical advantage since you are preparing yourself in the city where finance and fintech is starting to become a reality.
All you need to do is to pick out a particular NISM module corresponding to your career aspirations, find an institution with good faculty and market exposure such as Athworth Academy, and prepare seriously. That will help you to make a career out of the certification, not just obtain one.
What is best NISM certification in terms of finance is solely dependent on your personal career objective, as there are several modules of NISM (National Institute of Securities Markets) certification designed for various segments of the Indian securities market.
The base cost for NISM certification examinations is generally between ₹1,200 to ₹3,000 per test attempt. Upon registration on the official website of NISM Certification Portal, you will receive the official soft copy of the workbook as a part of the exam fee.
No, because remote proctoring was permanently ended, you are no longer able to take NISM exams from home.
The NISM Certification may prove useful if you intend to work in a regulatory capacity in the securities market in India, although it can be considered as a basic certification and not an equivalent to a higher-level finance course.
Which NISM exam is easy?
For complete beginners, NISM-Series-XII (Securities Markets Foundation) and NISM-Series-V-A (Mutual Fund Distributors) are generally regarded as the simplest and most accessible NISM tests.
