How Many Sensitive Info Types Are Needed for SharePoint Watermarks?

Answer Correct answer: B — Two sensitive info types suffice: one custom SIT for Project1/Project2 and one built-in credit card SIT; Site1/Site2 watermarks are location-based.

You have a Microsoft 365 subscription that contains two Microsoft SharePoint Online sites named Site1 and Site2. You plan to use policies to meet the following requirements: • Add a watermark of Confidential to a document if the document contains the words Project1 or Project2. • Retain a document for seven years if the document contains credit card information. • Add a watermark of Internal Use Only to all the documents stored on Site2. • Add a watermark of Confidential to all the documents stored on Site1. You need to recommend the minimum number of sensitive info types required. How many sensitive info types should you recommend?

  1. 1
  2. 2 Correct Answer
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Community Insight

The question tests whether you can separate content-condition SITs from location-based label application; the trap is counting each watermark requirement as a separate SIT.

This SC-401 scenario asks for the minimum number of sensitive info types needed for SharePoint watermarking and credit-card retention. The answer is two: one custom SIT for Project1/Project2 and one built-in credit card SIT, while Site1 and Site2 watermarks are applied by location-based label policies.

A common mistake is choosing four SITs—one per requirement—or choosing one SIT by overlooking that the built-in credit card SIT is needed separately from the custom Project keyword SIT.

Community Discussion (7 comments)

kollyp2000 👍 1 Selected: B
I’m treating B. 2 as the answer. Taking the four requirements one at a time Requirement Needs a SIT? Which Watermark if the document contains “Project1” or “Project2” Yes One custom SIT with a keyword list containing both words. The primary element “can be a Regular expression..., a Keyword list, a Keyword dictionary, or one of the preconfigured Functions.” Retain seven years if it contains credit card info Yes The built-in Credit card number SIT, which uses Func_credit_card plus the Luhn check Watermark “Internal Use Only” on everything in Site2 No A location-based rule, not a content match. Use a default sensitivity label on the Site2 document library Watermark “Confidential” on everything in Site1 No Same approach, a default label on the Site1 library
7525c5f 👍 1 Selected: A
One SIT is need and two sensitivity labels which will have different watermarks. Retention Labels for credit cards don't have watermarks.
Ender3 👍 1 Selected: B
Two SITs are needed. Here is why: 1. Create one SIT to identify project 1 and project 2 content. This is used in an auto-labeling policy to apply a sensitivity label for the "Confidential" watermarking. 2. Use a credit card SIT in an auto-labeling policy to apply a 7-year retention label. 3. Apply a sensitivity label to all content stored on Site2 for the "Internal" watermarking. No SIT needed. 4. Apply a sensitivity label to all content stored on Site1 for the "Confidential" watermarking. No SIT needed.
Nurob 👍 3 Selected: B
I only see 2 SITs needed: ONE for documents that contains specific words Project1 or Project2, and ONE for Credit Cards, the reset is location based so I don't see the point of a 3rd SIT
Suranka 👍 11 Selected: B
To meet the requirements described in the image, let's break down the scenarios: Watermark "Confidential" if document contains "Project1" or "Project2" This requires 1 custom sensitive info type to detect either "Project1" or "Project2". Retain document for 7 years if it contains credit card information This uses 1 built-in sensitive info type (e.g., Credit Card Number). Watermark "Internal Use Only" for all documents on Site2 This is location-based, not content-based, so no sensitive info type needed. Watermark "Confidential" for all documents on Site1 Also location-based, so no sensitive info type needed.
choukou 👍 2 Selected: U
1 seul
Rtstrider 👍 5 Selected: B
Project 1 and Project 2 can be added to a single custom Sensitive Info type. The second Sensitive info type would be Credit Card information I would think. For this reason I'm voting B (2) Sensitive Info Types

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Expert Analysis

Why the Answer Is Correct

Two SITs are the minimum because only two requirements depend on content inspection. The Project1/Project2 condition can be met with a single custom sensitive info type whose keyword list or regex includes both terms, and one SIT can match either word. The credit-card requirement uses the built-in credit card SIT, which is a separate SIT from the custom project SIT. The Site1 and Site2 watermark requirements are location-based: a sensitivity label with a watermark can be applied to a site or library without a SIT condition, so they add zero SITs. Therefore B (2) is correct.

Why the Other Options Are Wrong

A (1) fails because the Project keyword condition and the credit-card retention condition must be distinguishable; if one SIT matched either Project words or credit cards, the retention policy could not reliably target only credit-card documents. C (3) overcounts, usually by treating Project1 and Project2 as separate SITs or by turning one site watermark into a SIT requirement. D (4) overcounts every requirement as a SIT, but the two SharePoint site watermarks are location-based and need no SIT. The key distinction is that SITs define content conditions, while site-scoped sensitivity label policies define location.

Community Comment Notes

Suranka broke the scenarios down and concluded that a custom SIT covers Project1 or Project2 while a built-in SIT covers credit cards. Rtstrider similarly noted “Project 1 and Project 2 can be added to a single custom Sensitive Info type” and voted B. Nurob emphasized that only two SITs are needed and the rest is location-based. Ender3 gave the same three-part breakdown, including site-scoped labels for the Internal and Confidential watermarks. A minority view, such as choukou’s “1 seul” and 7525c5f’s one-SIT/two-label approach, overlooks that the credit-card retention condition still requires its own SIT, so B remains the stronger answer.

Official Reference

Exam Strategy

For SIT-count questions, separate content-based conditions from location-based label settings before counting. Each distinct content condition needs its own SIT, but applying a watermark to an entire site does not require a SIT.

Frequently Asked Questions

Why don’t the Site1 and Site2 watermarks require a sensitive info type?

They are location-based: a sensitivity label with a watermark can be applied to a site or library without inspecting content, so no SIT condition is needed.

Can Project1 and Project2 be detected by one custom sensitive info type?

Yes. A custom SIT can use a keyword list or regex that matches either Project1 or Project2, so both terms count as one SIT.

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