n NISM Certifications
NSM General NISM
Medium

Which type of investor is most suitable for a traditional Mutual Fund SIP?

Practice question from Advanced B1 S2 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    Investor seeking long-short strategies

  2. Investor wanting to invest ₹20,000 monthly with moderate risk

    Correct answer

  3. C

    Investor looking for complex derivative exposure

  4. D

    Investor seeking concentrated tactical bets

Why this is the answer

Mutual Funds are ideal for retail investors seeking simplicity, affordability, diversification, and ease of investing through SIPs.

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