n NISM Certifications
X NISM Series X
Medium

A 'Risk Profiling Questionnaire' tends to lose its significance when which of the following occurs?

Practice question from NISM Series XB- Investment Adviser (Level 2) Mock Test 6 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    The investor takes help from an investment adviser to fill it up

  2. B

    The investor provides inaccurate answers

  3. C

    The investor attempts to guess the 'correct' answers

  4. All of the above

    Correct answer

Why this is the answer

The utility of risk profiling diminishes if investors are dishonest, attempt to manipulate responses, or rely on guesses, compromising the assessment of true risk appetite.

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