n NISM Certifications
X NISM Series X
Medium

Which elements are included in an Investment Policy Statement (IPS)?

Practice question from NISM Series XB- Investment Adviser (Level 1) Mock Test 3 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    Risk and investor preferences

  2. B

    Investment objectives

  3. C

    Investment constraints

  4. All of the above

    Correct answer

Why this is the answer

An IPS outlines the investor’s goals, risk appetite, constraints, and preferred asset allocation to guide portfolio management.

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