n NISM Certifications
NSM General NISM
Medium

What is one potential benefit of rebalancing over time?

Practice question from I-B5 Session 1 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    Eliminating all market volatility

  2. Generating additional returns through disciplined profit booking

    Correct answer

  3. C

    Predicting market cycles accurately

  4. D

    Avoiding diversification

A full explanation for this question is being written. In the meantime, the correct answer is highlighted above.

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