Skip to content

NISM Certifications · NISM-Series-X-A: Investment Adviser (Level 1) · Grievance Redress Mechanism

Ms. Kapoor complains that her adviser did not disclose a conflict of interest. The adviser's internal compliance officer is reviewing it. What is the most appropriate step for the adviser regarding the complaint records?

The adviser should keep a record of every complaint and the action taken, irrespective of whether it is valid or withdrawn, and respond within the prescribed time, since regulators may inspect these records.

  1. AMaintain a record of the complaint and the action taken, and respond within the timelinesCorrect
  2. BDelete the record once the client withdraws verbally
  3. CShare the record only with the client's other advisers
  4. DKeep the record only if the complaint is found valid

Explanation

Advisers must maintain records of all complaints received and actions taken, regardless of outcome, and respond within timelines. Deleting or keeping records selectively undermines audit and regulatory review.

Did you get it right without looking?

One question tells you little. A timed set on Grievance Redress Mechanism shows your real accuracy, how long you take and where you lose marks.

Practise Grievance Redress MechanismFree diagnostic mock

More Grievance Redress Mechanism questions