Options
- A
Identifying an opportunity leading to potential losses
-
Investing in a risk-profile mismatch fund
Correct answer
- C
Investing in an acceptable risk fund
- D
Choosing the most expensive fund manager
Why this is the answer
Mismatch between investor requirements and fund profile constitutes adverse selection risk.
Test yourself for real
Take a full NISM Series X mock test.
Same duration, same weighting, same difficulty distribution as the real exam — with explanations on every question.