In addition to lowering the exam's difficulty, the regulator might also contemplate reducing the passing marks and eliminating negative marks. Presently, the passing mark stands at 60%, with a penalty of 0.25% deducted for each incorrect answer.

Under the existing guidelines, distributors are required to pass the NISM Series-XXI-A: Portfolio Management Services (PMS) Distributors Certification Examination to sell PMS.

This examination aims to establish a common minimum knowledge standard for PMS distributors, enhancing the quality of distribution and related support services in the sector. NISM announced the NISM-Series-XXI-A: PMS Distributors Certification Examination through its communiqué NISM/Certification/Series-XXI-A: PMS/2021/01, dated February 16, 2021. At present, the examination comprises 80 multiple-choice questions and 3 case-based questions.