Regarding electronic transaction management systems, which statement is true about brokerage policies?

The statement regarding electronic transaction management systems that is true about brokerage policies emphasizes the importance of security and confidentiality in managing sensitive information. System permissions being allocated on a need-to-know basis ensures that agents only have access to the information that is pertinent to their responsibilities and the transactions they are involved in. This approach protects client data and sensitive business information, reducing the risk of unauthorized access or data breaches.

Additionally, requiring passwords for accessing the system adds another layer of security, ensuring that only authorized personnel can log into the system. This practice aligns with best practices in data protection and privacy, which are critical in the real estate industry where agents often handle sensitive client information. Maintaining controlled access helps in fostering a trustworthy environment and adhering to regulatory standards that govern the handling of private information.

In contrast, unrestricted access or encouraging password sharing jeopardizes the integrity and security of the data, making it vulnerable to leaks or misuse. Hence, establishing a policy that safeguards access based on necessity and proper authentication is essential in maintaining a secure electronic transaction management system.