n NISM Certifications
X NISM Series X
Medium

When estimating retirement expenses using the Expense Protection Method, which of the following is NOT required?

Practice question from NISM Series XB- Investment Adviser (Level 2) Mock Test 6 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    Pre and post-retirement expenses

  2. B

    Rate of inflation

  3. Rate of return on investments

    Correct answer

  4. D

    Years to retirement

Why this is the answer

The Expense Protection Method focuses on estimating future expenses based on current costs and inflation, without needing the rate of return on investments.

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