n NISM Certifications
X NISM Series X
Medium

To increase investor confidence, a grievance redressal mechanism should have which feature?

Practice question from NISM Series XB- Investment Adviser (Level 1) Mock Test 3 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    Prioritization of critical grievances

  2. B

    No time limits for complaints

  3. An efficient system to track complaint progress

    Correct answer

  4. D

    Penalize frivolous complaints

Why this is the answer

Transparency in complaint handling, including tracking, builds trust and demonstrates effective resolution processes.

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