NISM Research Analyst Exam New Syllabus: Complete Chapter-Wise Guide
If you want to become a Research Analyst in India, you may have heard about the NISM Research Analyst exam. The full name of the exam is NISM-Series-XV: Research Analyst Certification Examination.
The exam covers many parts of research. You need to understand the stock market, companies, financial statements, valuation, risk, rules, technical analysis and several other topics.
The syllabus may look very big when you see it for the first time. There are 15 chapters in the current syllabus, but you do not need to understand everything on the first day. The easier way is to understand what each chapter is trying to teach you.
Some chapters teach basic market ideas, while some teach you how to study a company. Some deal with numbers and valuation, and some teach you about rules that a Research Analyst needs to follow.
The current examination structure has 80 normal multiple-choice questions and 5 case-based sets. Each case has 4 questions. Together, the exam carries 100 marks. You get 2 hours to complete it. You need 60% to pass, and there is 25% negative marking for a wrong answer.
So, what exactly do you need to study? Let's go through the syllabus chapter by chapter.
Chapter 1: Introduction to Research Analyst Profession
The first chapter starts with the basics. It explains what a Research Analyst does. A Research Analyst studies companies, industries, markets and other information before giving research views or recommendations.
For example, an analyst studying a company may look at its business, sales, profit, debt, management and future plans. The aim is not simply to look at whether the share price is going up or down. The analyst tries to understand the business behind that share.
This chapter also covers the main responsibilities of a Research Analyst. It talks about how analysts should deal with companies and clients and what qualities are expected from a good Research Analyst.
This is a small chapter and carries 1 mark in the exam.
Chapter 2: Introduction to Securities Market
Before learning research, you need to understand the market itself. This chapter introduces you to the securities market.
A security is a financial product that can have value and can be bought, sold or held. For example, shares and bonds are securities.
The chapter introduces different products such as:
- Equity shares.
- Bonds and debentures.
- Warrants.
- Market indices.
- Mutual funds.
- Exchange Traded Funds, or ETFs.
- Structured products.
- Commodities.
You also learn about the primary market and secondary market. The primary market is where securities are first issued. For example, when a company comes with an IPO, investors can buy its shares through the primary market.
The secondary market is where investors later buy and sell those shares. This chapter carries 2 marks.
Chapter 3: Terminology in Equity and Debt Markets
The stock market has many words that may sound difficult to a beginner. This chapter helps you understand those words.
Equity simply means ownership in a company. If you own shares of a company, you own a small part of that company.
Debt is different. When a company borrows money by issuing a bond, the person buying the bond is not becoming an owner of the company. The person is lending money.
This chapter explains important terms used in equity and debt markets. Learning these terms is important because you will see them again in later chapters.
This chapter carries 2 marks.
Chapter 4: Fundamentals of Research
Now the syllabus starts moving towards actual research. Research simply means studying information carefully before reaching a conclusion.
If you want to study whether a company is doing well, you should not make that decision only because its share price went up yesterday. You may need to study the company, its industry and the economy.
This chapter explains the basic ideas behind research. It also helps you understand different ways in which research can be done. Think of this chapter as the starting point for the research process.
It carries 5 marks.
Chapter 5: Economic Analysis
A company does not work alone. It is also affected by what is happening in the economy.
Changes in interest rates are one example. If interest rates rise, borrowing money may become more expensive for companies and customers. High inflation can also increase the cost of raw materials, transport and other things.
These changes can affect a company's business. This is why a Research Analyst also needs to understand the economy. Economic analysis looks at the bigger picture before studying a particular industry or company.
This chapter carries 5 marks.
Chapter 6: Industry Analysis
After understanding the economy, the next step is to understand the industry. An industry is simply a group of businesses doing similar types of work.
For example, banks are part of the banking industry. Car companies are part of the automobile industry. IT companies are part of the information technology industry.
A company may be doing well today, but the whole industry may be facing a serious problem. That can also affect the company.
Industry analysis helps you understand things like competition, demand and the important factors that can affect businesses in that industry.
This chapter carries 8 marks, so it deserves more study time than some of the smaller chapters.
Chapter 7: Company Analysis – Business and Governance
Now you come to the company itself. This chapter looks at the business and how the company is being managed.
Two companies can be in the same industry but still be very different. One may have a strong business and good management, while the other may have weak management or other business problems. Their future may be very different even though both are in the same industry.
This is why a Research Analyst needs to understand the company, not just its share price. Governance is also important. In simple words, corporate governance is about how a company is run and controlled.
A Research Analyst needs to look beyond the numbers and understand the quality of the business as well. This chapter carries 6 marks.
Chapter 8: Company Analysis – Financial Analysis
This is one of the bigger chapters in the exam. Financial analysis means studying the financial numbers of a company.
For example, you may want to know:
- How much does the company sell?
- How much profit does it make?
- How much debt does it have?
- How much money is coming into and going out of the business?
For this, you need to understand financial statements. At first, financial statements can look difficult because they contain many numbers. But the basic idea is simple. You are trying to understand the financial condition and performance of the company.
A company may report higher sales, which can look good at first. But what if its profit is falling? Or what if its debt is rising very quickly? These are the types of questions financial analysis can help you study.
This chapter carries 12 marks. That makes it one of the most important chapters based on exam weightage.
Chapter 9: Corporate Actions
Companies sometimes take actions that directly affect their shareholders. These are called corporate actions.
For example, a company may pay a dividend. A dividend is money that a company may give to its shareholders from its profits. A company may also announce a bonus issue, stock split, rights issue or other corporate action.
If a company announces a stock split, the number of shares may change, and the price per share is adjusted. A beginner may see the lower share price and think the stock suddenly became much cheaper.
But that would not tell the full story. You need to understand what happened to the number of shares as well. This is why understanding corporate actions is important.
This chapter carries 5 marks.
Chapter 10: Valuation Principles
A good company and a good investment are not always the same thing. Why? Because price matters.
A company may be doing very well, but investors may already be paying a very high price for its shares. You still need to ask whether that price makes sense.
This is where valuation comes in. Valuation simply means trying to understand what something may be worth.
For example, imagine a shop earns ₹5 lakh a year. Would you pay ₹5 lakh to buy that business? Would you pay ₹50 lakh? Would you pay ₹5 crore?
You cannot answer properly by looking only at the profit for one year. You need more information. Valuation works in a similar way.
A Research Analyst uses different methods and numbers to study what a company or share may be worth.
This chapter carries 12 marks, so this is another major chapter in the exam.
Chapter 11: Fundamental Analysis of Commodities
Research is not limited to company shares. Commodities are also an important part of financial markets. Gold, silver, crude oil and some agricultural products are examples of commodities.
Commodity prices can change because of many reasons. Crude oil prices, for example, may be affected by global demand and supply. Agricultural commodity prices can be affected by weather and crop production, while gold can react to different economic and global events.
This chapter teaches the basic ideas used when studying commodities. It carries 5 marks.
Chapter 12: Fundamentals of Risk and Return
Most people invest because they want a return. Return simply means the profit or loss made from an investment.
But investments also have risk. Risk means there is a chance that the result may be different from what you expected, including the possibility of losing money. Usually, you should not look at return without also looking at risk.
For example, Investment A may give a return of 10% while Investment B gives 12%. You cannot automatically say that Investment B was better. You also need to understand how much risk was taken to earn that return.
This chapter covers important ideas connected with risk and return. It carries 7 marks.
Chapter 13: Qualities of a Good Research Report
Doing research is one part of a Research Analyst's work. Presenting that research properly is another part.
A research report should help the reader understand the research. It should not simply contain many difficult words and numbers.
This chapter explains the qualities of a good research report. It also covers rating conventions and the use of a checklist while preparing a research report. A checklist can help an analyst make sure that important points have not been missed.
This chapter carries 5 marks.
Chapter 14: Legal and Regulatory Environment
A Research Analyst cannot work without understanding the rules. This chapter deals with the legal and regulatory side of the securities market.
SEBI is the main regulator of India's securities market. The chapter covers important laws and regulations connected with the market and Research Analysts. It also covers the Code of Conduct for Research Analysts.
You learn about conflicts of interest and disclosure requirements. A conflict of interest can happen when someone's personal interest may affect, or appear to affect, professional work.
For example, an analyst may have a financial interest connected with a company being researched. Rules about disclosures help make such information clear.
The chapter also covers exchange surveillance mechanisms such as ASM and GSM.
This chapter carries 10 marks, so it is an important part of the exam.
Chapter 15: Technical Analysis
The final chapter is Technical Analysis. Technical analysis mainly studies market price and trading information through charts and other tools.
For example, a stock may repeatedly stop falling near a particular price. A technical analyst may study that area as possible support. Support is simply an area where buying has earlier been strong enough to stop or slow a fall.
The chapter covers topics such as:
- Charts.
- Dow Theory.
- Market trends.
- Reversal patterns.
- Consolidation patterns.
- Support and resistance.
- Trendlines and channels.
- Technical indicators.
You do not need to think of every indicator as something that can predict the market perfectly. Technical analysis is simply another way of studying market behaviour.
This chapter carries 15 marks. That is the highest weightage of any chapter in the current syllabus.
Which Chapters Carry the Most Marks?
Not every chapter has the same weightage. This is important when you make your study plan.
Technical Analysis carries 15 marks. Company Analysis – Financial Analysis carries 12 marks. Valuation Principles carries 12 marks. Legal and Regulatory Environment carries 10 marks. Industry Analysis carries 8 marks. Fundamentals of Risk and Return carries 7 marks.
These six chapters together carry a large part of the total marks. This does not mean you should ignore the smaller chapters. But knowing the weightage can help you decide where you may need more study time.
What Is the Current NISM Research Analyst Exam Pattern?
The exam is for 100 marks. There are 80 multiple-choice questions carrying 1 mark each.
There are also 5 case-based sets. Each case has 4 questions of 1 mark each. So case-based questions together carry 20 marks.
You get 2 hours to complete the exam. You need 60 marks out of 100 to pass.
There is also 25% negative marking for every wrong answer. For a 1-mark question, this means a wrong answer can reduce your score by 0.25 mark. So guessing every answer without thinking can hurt your final score.
How Should a Beginner Study the New Syllabus?
Do not start by trying to remember hundreds of lines. First understand what the chapter is teaching.
When studying financial analysis, for example, first understand why financial statements are used. Then learn the different parts.
For valuation, first understand what valuation means before moving towards the methods and calculations. The same idea works for technical analysis: understand trends, support and resistance before moving towards patterns and indicators.
Also give enough time to calculations. Reading a formula and solving a question using that formula are two different things. Practice helps you understand where and how a formula is used.
Do You Need to Study All 15 Chapters?
Yes. It may be tempting to study only the chapters with high marks, but that can be risky. Questions can come from different parts of the syllabus.
A better approach is to understand all 15 chapters. You can then give extra study time to the chapters that carry more marks without completely ignoring the smaller chapters.
Don't Confuse Series XV With Other NISM Exams
One more thing is important. NISM has several certification exams.
The exam discussed in this article is NISM-Series-XV: Research Analyst Certification Examination.
There is also a separate NISM-Series-XV-B: Research Analyst Certification (Renewal) Examination for eligible candidates who already have a valid Series XV certification and want to renew it.
NISM has also introduced NISM-Series-XXV-A for persons associated with research services in sales and other non-core services. That is a different examination.
So always check the exact exam name before downloading study material or starting your preparation.
Final Thoughts
The NISM Research Analyst syllabus may look difficult when you first see all 15 chapters. But the syllabus becomes easier to understand when you divide it into smaller parts.
The early chapters teach you about the Research Analyst profession and securities market. Then you move into research, the economy and industries. After that, you study companies, financial statements, corporate actions and valuation.
You also learn about commodities, risk and return, research reports and regulations. Finally, you study technical analysis.
Do not try to finish everything too quickly. Understand one topic at a time and practice questions after studying a chapter.
Most importantly, use the latest official NISM study material and syllabus when preparing because the examination content can be updated.
The goal should not be only to remember enough answers to pass. Try to understand why the concepts matter. That knowledge can remain useful even after the exam is over.
Don't try to learn the entire NISM Research Analyst syllabus at once. Understand one chapter at a time, practice questions, and focus on learning the concepts instead of only memorizing answers.
