n NISM Certifications
XVII NISM Series XVII
Medium

To mitigate biases in retirement investing, individuals should establish automated, systematic, and process-oriented investment systems.

Practice question from NISM Series XVII- Retirement Adviser Mock Test 3 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    One should invest for long term so as to negate the effect of biases

  2. B

    One should invest in low risk securities

  3. C

    One should properly evaluate the risks before investing

  4. One should put in place an automated and process oriented system for investing

    Correct answer

Why this is the answer

Automation minimizes behavioral biases like inertia and emotional decision-making, leading to disciplined investing.

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