NISM-Series-XVII: Retirement Adviser Practice Exam

The NISM-Series-XVII: Retirement Adviser examination is designed to establish a standard level of essential knowledge for individuals, proprietors, partners, and representatives of retirement advisers registered under the PFRDA (Retirement Adviser) Regulations, 2016. This certification is aimed at improving the quality of services offered by retirement advisers within the financial services sector. Upon successful completion of the examination, candidates should be able to:

• Understand the fundamental principles of Retirement Planning and different investment products.
• Familiarize themselves with the Retirement Planning Process.
• Comprehend the features and advantages of the National Pension System.
• Gain knowledge about various assessment tools and fund selection criteria.
• Grasp strategies beneficial to investors in implementing their retirement plans.
• Understand the implications of specific retirement planning scenarios and methods to address them.
• Acquire an understanding of the regulatory framework and regulations governing the operations of retirement advisers.

Who should take the exam?

The NISM-Series-XVII: Retirement Adviser exam is mandatory for anyone who wants to act as a retirement adviser in India, according to the Pension Fund Regulatory and Development Authority (PFRDA) regulations. This includes

• Anyone who wants to work independently as a retirement adviser needs to pass this exam.
  
• Proprietors and Partners
• Individuals representing a firm registered as a retirement adviser must hold this certification.

Exam Details

• Exam Name: NISM-Series-XVII: Retirement Adviser
• Exam Languages: English
• Exam Questions: 100 Questions
• Time: 120 minutes
• Passing Score: 60%

Exam Course Outline 

The Exam covers the given topics  - 

Topic 1: Overview of Retirement Planning

• Need for Retirement Planning
  
• Basic financial concepts associated with retirement planning
• Features of the retirement goal
• Advantages and importance of starting retirement savings early
• Risk of Underestimating Retirement Goals
• Emotional Aspects of Retirement

Topic 2: Understand Financial Markets and Investment Products

• Need for Making Investments to Reach Retirement Goals
  
• Difference between Savings and Investments
• Asset Class and Sub-Asset Classes
• Features of Different Asset Classes
• Asset Class Returns
• Common Risks in Investments
• Matching Investor Needs to Asset Class Features
• Impact of Macro-Economic Factors on Asset Classes
• Asset Allocation
• Financial System and Investment Products

Topic 3: Understand Retirement Planning

• Evaluate Client’s Current Situation
  
• Learn the Process of Setting the Retirement Goal
• Investing for Accumulation
• Post-retirement Stage
• Risks in Distribution Stage
• Monitor and Update the Retirement Plan
• Behavioural Bias in Decision Making

Topic 4: Retirement Planning Products: National Pension System

• National Pension System
  
• Working of NPS
• Subscribing to the NPS
• Investing in the NPS
• Tax aspects of subscribing to the NPS

Topic 5: Evaluating Fund Performance and Fund Selection

• Return on Investment
  
• Different types of return calculations
• Measures of risk in an investment
• Benchmarks
• Performance Evaluation
• Matching investor’s retirement needs to product

Topic 6: Other Investment Products

• Mandatory Retirement Benefit Schemes
  
• Voluntary Retirement Products

Topic 7: Retirement Planning Strategies

• Bridging Shortfall in Retirement Corpus
  
• Periodic Investments
• Retirement Income from Multiple Sources
• Bucket Strategy
• Tax Advantages in Different Stages of Retirement
• Automating Investments

Topic 8: Learn about Special Situations in Retirement

• Debt Obligations in Retirement
• Documents for Effective Retirement Planning

Topic 9: Regulations and Regulators

• Indian Regulatory System
  
• Role of Pension Fund Regulatory and Development Authority (PFRDA)
• Role of Regulators
• Regulations for Retirement Advisers
• Ethics beyond Regulations
• Subscriber Grievance Redressal Mechanism