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NISM Certifications · NISM-Series-X-A: Investment Adviser (Level 1) · Key Regulations

Under the Investment Advisers Regulations, an investment adviser must maintain records of its advice and client documents for a minimum period. What is that period?

Investment advisers must preserve records of client risk profiling, suitability assessment, agreements and advice given for at least five years, so that regulators can inspect compliance with the Investment Advisers Regulations.

  1. A1 year
  2. B3 years
  3. C5 yearsCorrect
  4. D10 years

Explanation

Advisers must maintain records, including risk profile, suitability, agreements and advice rendered, for a minimum of five years. One and three years are too short, and ten years is not the stated requirement.

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