Yes, many NISM exams have negative marking. In Series VIII (Equity Derivatives), for instance, 25% of the marks for a question are deducted for each wrong answer. The exact rule depends on the module, so check its workbook or the NISM portal.
Negative marking changes how you should attempt the paper. In Series VIII, with 100 questions and a 60% pass mark, each wrong answer costs you a quarter of a question’s marks. Four wrong guesses cancel one correct answer.
A hypothetical example: a candidate answers 70 questions, 58 right and 12 wrong. Without negative marking, that’s 58%. With a 25% penalty on 12 wrong answers, they lose another 3 marks’ worth, ending at 55%. They’d have done better skipping a few of those guesses.
Practical rules of thumb:
- If you can rule out two of four options, a guess is reasonable.
- If you have no idea, skip it.
- Save calculation questions for a second pass so you don’t rush them.
Students often lose marks by attempting everything out of fear of leaving blanks. Timed mock tests teach you where your accuracy drops. Our NISM exam preparation course uses practice tests in class so you learn your own pattern before exam day.