I know this might cause your heart to sink, but the answer is yes. There is negative marking in both the phases of the SEBI Grade A Exam, unless its the IT stream, for which the details have not yet been released. Its very unfortunate, but if you happen to choose the wrong answer to a question, you are liable to loose a quarter of the total marks intended for that particular question. Therefore, you do well to read the questions & answers thoroughly and be extra careful while marking your answers.