n NISM Certifications
X NISM Series X
Medium

Which asset allocation approach should be undertaken only by experienced investors?

Practice question from NISM Series XB- Investment Adviser (Level 2) Mock Test 5 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. Tactical asset allocation

    Correct answer

  2. B

    Strategic asset allocation

  3. C

    Dynamic asset allocation

  4. D

    Both strategic and tactical asset allocation

Why this is the answer

Tactical asset allocation involves short-term market calls and requires market expertise and large investible surpluses.

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