n NISM Certifications
NSM General NISM
Medium

During major market downturns, what action should you recommend to clients with existing SIPs?

Practice question from B10-S5 Client Interactions — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    Stop the SIP immediately to prevent losses

  2. B

    Pause the SIP and restart when markets recover

  3. Consider increasing the SIP amount or adding lump sum investments

    Correct answer

  4. D

    Switch all investments to fixed deposits

A full explanation for this question is being written. In the meantime, the correct answer is highlighted above.

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