n NISM Certifications
XXI NISM Series XXI-A
Medium

The first step in the investment process is the development of:

Practice question from NISM XXI A for PMS - Mock Test 2 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    Statement of cash needs

  2. B

    Objective statement

  3. Investment Policy Statement

    Correct answer

  4. D

    Financial statement

Why this is the answer

The IPS outlines the investor’s goals, risk tolerance, and constraints, guiding the entire investment process.

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