n NISM Certifications
V-A NISM Series V-A
Medium

What does the 'Goal-Based Approach to Financial Planning' focus on?

Practice question from Nism VA Mock Test 4 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    To generate a limited amount of money

  2. An investment plan focused on a specific goal

    Correct answer

  3. C

    An investment plan with a specific risk profile

  4. D

    A specific investment option

Why this is the answer

This approach involves creating a financial plan for a specific goal, such as saving for a child’s higher education. An alternative approach is a comprehensive financial plan that considers all financial goals.

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