n NISM Certifications
NSM General NISM
Medium

When a client says their SIP returns have turned negative, what is the most appropriate initial response?

Practice question from B15-S5 Client Interactions — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    Suggest they immediately stop the SIP to prevent further losses

  2. Acknowledge their worry and explain this is actually a good buying opportunity

    Correct answer

  3. C

    Recommend switching to a different fund immediately

  4. D

    Tell them not to worry because markets always go up

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

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