Options
- A
Credit Risk
- B
Liquidity Risk
-
Purchasing Power Risk
Correct answer
Why this is the answer
Inflation risk (or purchasing power risk) refers to the risk that inflation will reduce the purchasing power of the returns from investments, eroding the value of money over time.
Test yourself for real
Take a full NISM Series V-A mock test.
Same duration, same weighting, same difficulty distribution as the real exam — with explanations on every question.