English Quizzes, for SBI/IBPS PO Mains 2021

Directions (1-10): Read the following passage and answer the questions as directed. There are some blanks given in the passage based on which some questions are framed, and some words are highlighted as well to help you answer some of the questions

After introducing a new standard framework for credit rating agencies last month, the Securities and Exchange Board of India came up with more ____(A)______ regulations to govern the management of mutual funds. The mutual fund industry came under its scrutiny after some mutual funds in the last few months had to postpone _____(B)_____ of their fixed maturity plans (FMPs). (C)HDFC Mutual Fund and Kotak Mutual Fund came to (1) failed and had to roll over or (2)proportionately reduce redemption of their FMPs in April after some Essel group companies (3) grief to redeem their non-convertible (4)debentures where the funds had invested. According to the new SEBI regulations, liquid mutual fund schemes will have to invest at least 20% of their ________________(D)___________________. They will be barred from investing more than 20% of their total assets in any one sector; the current cap is 25%. When it comes to sectors like housing finance, the limit is down to 10%. These measures are aimed to prevent situations such as the one being witnessed now. (E) While the (1)mandated investment in government securities will (2) reduction a modicum of liquidity, the (3) ensure in sectoral concentration will (4)discipline funds and force them to diversify their risks. Some mutual funds entered into standstill agreements with companies in whose debt instruments the funds had invested. (F) SEBI has done the right thing by banning funds from entering into such standstill agreements. Further, SEBI has required that assets of mutual funds be valued on a mark-to-market basis in order to better reflect the value of their investments.

While SEBI’s intent to deal with the risks within the financial system is ______(G)______, there could be unintended consequences to the regulator’s actions — which need watching. (H)One of the new regulation introduced by SEBI is to increase the exit load on short-term investments in liquid mutual funds to discourage sudden demands for redemption. This could possibly hinder fund flow into the bond market, which in India is already quite undeveloped when compared to the rest of the world. (I) While SEBI is doing a commendable job in (1) question the markets and (2)intermediaries, the larger (3) disciplining is whether the (4)regulator can really protect investors beyond a certain point. Market investments involve risk, and investors seeking high returns may in fact be willing to assume the increased risk that comes with such investment. That said, what the regulator is probably more concerned about is the ripple effect of defaults and roll-overs on the system. Investor confidence can be shaken by defaults and that will have _____(J)_____ for the economy. Viewed from this perspective, the regulator’s latest rules should be welcomed.

Q1. Which of the following word given in the options should come at the place marked as (A) in the above passage to make it grammatically correct and meaningful? Also, the word should fill in the two sentences given below to make them contextually correct and meaningful.

(I) Data research firm Forrester recently released a study on the privacy laws of 61 countries, finding that many nations spent 2018 passing _____________ privacy regulations and more would continue to do so in 2019.
(II) The Madhya Pradesh government is going to make a ____________ law to curb mob lynchings in the state in the name of the cow.

(a) insolent
(b) arcane
(c) prolific
(d) stringent
(e) propitious

Q2. Which of the following words should fill the blank given in (B) to make it contextually correct and meaningful?

(a) aberration
(b) redemption
(c) adhesion
(d) compurgation
(e) levitation

Q3. The sentence given in (C) has four words given in bold. Amongst the given bold words, which of the followings must replace each other to make the sentence contextually correct and meaningful?

(a) 2-4
(b) 2-3
(c) 3-4
(d) 1-4
(e) 1-3

Q4. Which of the following phrases should fill the blank (D) to make it contextually and grammatically meaningful and correct respectively?

(a) fixed income market that had spiked MF liquidity risk
(b) funds in liquid assets like government securities
(c) working group to review norms for MF investment
(d) debt scheme can only invest up to 20 per cent of its assets in one sector
(e) sectoral cap was previously higher at 25 per cent

Q5. The sentence given in (E) has four words given in bold. Amongst the given bold words, which of the followings must replace each other to make the sentence contextually correct and meaningful?

(a) 2-4
(b) 2-3
(c) 3-4
(d) 1-4
(e) 1-3

Q6. Two sentences are given in italics on both sides of (F). Which of the following statements can come in between the two sentences in place of (F) and maintain the continuity of the paragraph?

(a) However, the problem with the real estate sector is its lack of access to long-term finance.
(b) Making promoters of companies disclose detailed reasons for pledging or encumbrances if the total exceeds 20% of the company’s share capital or 50% of the equity holding makes sense.
(c) This is not a welcome practice and goes against the interests of investors in the mutual fund.
(d) Now, the exposure to a single sector will not go beyond 20 per cent as against 25 per cent earlier.
(e) A graded exit load should be levied on investors who exit liquid fund in seven days of investing.

Q7. Which of the following word given in the options should come at the place marked as (G) in the above passage to make it grammatically correct and meaningful? Also, the word should fill in the two sentences given below to make them contextually correct and meaningful.

(I) As an elected representative, Moitra has done a _____________ job in turning the focus on some of the more important issues of the day.
(II) Even though the number of mentally retarded is high in the erstwhile Warangal district, the way the non-governmental organisations (NGOs) are responding to their cause is _________, Parashuramulu said.

(a) pernicious
(b) antithetical
(c) commendable
(d) precipitous
(e) resurgent

Q8. In the passage given, a sentence (H) is given in Italics. There may or may not be an error in one part of the sentence. Choose the part which has an error in it as your answer.

(a) One of the new regulation introduced
(b) by SEBI is to increase the exit load on
(c) short-term investments in liquid mutual funds
(d) to discourage sudden demands for redemption.
(e) No error

Q9. The sentence given in (I) has four words given in bold. Amongst the given bold words, which of the followings must replace each other to make the sentence contextually correct and meaningful?

(a) 1-2
(b) 2-4
(c) 1-3
(d) 2-3
(e) 3-4

Q10. Which of the following words should fill the blank given in (J) to make it contextually correct and meaningful?

(a) regulations
(b) precipitates
(c) accreditation
(d) embargo
(e) consequences

Solutions

S1. Ans. (d)
Sol. Referring to the former part of the statement, we can infer that the blank will be filled in with an adjective which can define the new rules introduced by SEBI for market regulation. Here, “stringent”, which means “(of regulations, requirements, or conditions) strict, precise, and exacting”, will be the most suitable option to fit in the blank. Hence, option (d) is the most suitable answer choice.
Insolent: rude and arrogant
Arcane: requiring secret or mysterious knowledge
Prolific: intellectually productive
Propitious: presenting favorable circumstances; likely to result in or show signs of success

S2. Ans. (b)
Sol. In the given blank, “redemption” which means “the action of regaining or gaining possession of something in exchange for payment, or clearing a debt”, is the most suitable answer choice. Apart from “redemption” no other word makes the sentence grammatically and contextually correct. Hence, option (b) is the most suitable answer choice.
Aberration: a departure from what is normal, usual, or expected, typically an unwelcome one
Adhesion: the action or process of adhering to a surface or object.
Compurgation: acquittal from a charge or accusation obtained by statements of innocence given by witnesses under oath.
Levitation: the action of rising or causing something to rise and hover in the air, typically by means of supposed magical powers.

S3. Ans. (e)
Sol. In the highlighted statement, positions of words marked (2) and (4) seem to be correct. On interchanging (1) and (3) we will get a grammatically correct and contextually meaningful statement. The phrase “Kotak Mutual Fund came to failed” is grammatically incorrect therefore hints towards the interchange. Hence, option (e) is the most suitable answer choice

S4. Ans. (b)
Sol. Here, phrases given in option (a) and (c) do not fit in contextually. Also, phrases given in option (d) ad (e) will make the sentence grammatically incorrect and incomplete. Therefore, only the phrase given in option (b) fits in perfectly in the blank. Hence, option (b) is the most suitable answer choice.

S5. Ans. (b)
Sol. In the highlighted statement, positions of words marked (1) and (4) seem to be correct. On interchanging (2) and (3) we will get a grammatically correct and contextually meaningful statement. The phrase “ensure in sectoral concentration” is grammatically incorrect therefore hints towards the interchange. Hence, option (b) is the most suitable answer choice.

S6. Ans. (c)
Sol. Here, the statement given in option (c) clearly connects the italicized statements. We can gather the hint from the phrase given in the first sentence which mentions “standstill agreements with companies…”. In option (c), “this” has been used in context of these agreements. Hence, option (c) is the most suitable answer choice.

S7. Ans. (c)
Sol. From the former part of the sentence given in the passage, we can infer that the work by SEBI has been praiseworthy. Also, similar can be inferred from the statements (I) and (II). Here, “commendable” which means “deserving praise” is the most suitable answer choice. Hence, option (c) is the most suitable answer choice.
Antithetical: sharply contrasted in character or purpose
Precipitous: done with very great haste and without due deliberation
Resurgent: rising again as to new life and vigor
Pernicious: exceedingly harmful; working or spreading in a hidden and injurious way

S8. Ans. (a)
Sol. Here, the error lies in the first part of the italicized statement where, “regulation” will be replaced with “regulations”. Considering the former part of the sentence, “one of the…” will be followed with plural noun. Therefore, option (a) is the most suitable answer choice.

S9. Ans. (c)
Sol. In the highlighted statement, positions of words marked (2) and (4) seem to be correct. On interchanging (1) and (3) we will get a grammatically correct and contextually meaningful statement. The phrase “the larger disciplining is whether” is grammatically incorrect therefore hints towards the interchange. Hence, option (c) is the most suitable answer choice.

S10. Ans. (e)
Sol. Among the given options, only “consequences” which means “a result or effect, typically one that is unwelcome or unpleasant”, will perfectly fit in the given blank. Apart from consequences, no other word will make the statement grammatically correct. Hence, option (e) is the most suitable answer choice.
Precipitates: cause (an event or situation, typically one that is undesirable) to happen suddenly, unexpectedly, or prematurely
Embargo: an official ban on trade or other commercial activity with a particular country.