Question 291 of 1,024
Security and CompliancemediumMultiple ChoiceObjective-mapped

Quick Answer

The answer is AWS Secrets Manager. This service is the correct choice because it is purpose-built to store, manage, and automatically rotate secrets like database credentials and API keys, meeting the compliance requirement for rotation every 90 days through built-in integrations with AWS RDS, Redshift, and DocumentDB, or via custom Lambda functions. On the AWS Certified Cloud Practitioner CLF-C02 exam, this question tests your understanding of the key difference between Secrets Manager and Parameter Store: while both can store secrets, only Secrets Manager offers native automatic rotation. A common trap is choosing Parameter Store because it is cheaper, but the exam emphasizes that rotation is a core feature of Secrets Manager. Remember the memory tip: “Secrets Manager rotates; Parameter Store stores.”

CLF-C02 Security and Compliance Practice Question

This CLF-C02 practice question tests your understanding of security and compliance. This is a configuration task: choose the command set that satisfies every stated requirement. Small differences — like 'secret' vs 'password' or 'transport input ssh' vs 'all' — change whether the answer is correct. After answering, compare your reasoning against the explanation and wrong-answer breakdown below. Once you have made your selection, read the full explanation to reinforce the concept and understand why each distractor is designed to mislead on exam day.

A company runs a microservices-based application on Amazon ECS. The application stores database credentials and API keys in plaintext configuration files that are baked into container images. A security audit reveals that this practice violates the company's compliance policy, which mandates that secrets must be stored separately from code, centrally managed, and automatically rotated every 90 days. Which AWS service should the company use to meet these requirements?

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Answer choices

Why each option matters

Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.

Correct answer & explanation

AWS Secrets Manager

AWS Secrets Manager is the correct choice because it is designed specifically for storing, managing, and automatically rotating database credentials, API keys, and other secrets throughout their lifecycle. It meets the compliance requirements by storing secrets separately from code, providing a central management console and API, and supporting automatic rotation every 90 days via built-in integration with AWS RDS, Redshift, and DocumentDB, or custom Lambda functions.

Key principle: Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.

Answer analysis

Option-by-option breakdown

For each option: why learners choose it and why it is or isn't the right answer here.

  • AWS Key Management Service (AWS KMS)

    Why it's wrong here

    AWS KMS is for creating and controlling encryption keys, not for storing secrets like passwords and API keys. It does not provide automatic rotation of secrets.

  • AWS CloudHSM

    Why it's wrong here

    AWS CloudHSM offers dedicated hardware security modules for generating and storing encryption keys, but it is not a secrets management service and does not support automatic rotation of application secrets.

  • AWS Secrets Manager

    Why this is correct

    AWS Secrets Manager is purpose-built for storing, managing, and automatically rotating secrets such as database credentials and API keys. It integrates with Lambda to perform rotation on a schedule and with RDS for automatic credential updates, meeting the compliance requirements.

    Related concept

    Read the scenario before looking for a memorised answer.

  • AWS Systems Manager Parameter Store

    Why it's wrong here

    AWS Systems Manager Parameter Store can store configuration data and secrets, but it does not natively support automatic rotation of secrets. While it can be used with custom automation, Secrets Manager is the fully managed service that provides built-in automatic rotation, making it the better choice for this requirement.

Common exam traps

Common exam trap: answer the scenario, not the keyword

The trap here is that candidates often confuse AWS Secrets Manager with AWS Systems Manager Parameter Store, assuming both offer automatic rotation, but Parameter Store lacks native rotation capabilities and is primarily for configuration data, not secrets lifecycle management.

Detailed technical explanation

How to think about this question

AWS Secrets Manager encrypts secrets at rest using AWS KMS (with a customer master key or AWS managed key) and in transit via TLS. It supports automatic rotation by invoking an AWS Lambda function that updates the secret and the associated resource (e.g., RDS password) in a single atomic operation, ensuring no downtime. The 90-day rotation interval is configurable via the console or API, and Secrets Manager can also replicate secrets across multiple AWS Regions for disaster recovery.

KKey Concepts to Remember

  • Read the scenario before looking for a memorised answer.
  • Find the constraint that changes the correct option.
  • Eliminate answers that are true in general but not in this case.

TExam Day Tips

  • Watch for words such as best, first, most likely and least administrative effort.
  • Review why wrong options are wrong, not only why the correct option is correct.

Key takeaway

Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.

Real-world example

How this comes up in practice

A cloud solutions architect for a retail company is evaluating services for a new workload. The correct answer here reflects best practice for the specific scenario described — not a general cloud recommendation. Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option. Cloud exam questions reward reading the constraint carefully: the same technology can be right or wrong depending on the use case.

What to study next

Got this wrong? Here's your next step.

Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.

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FAQ

Questions learners often ask

What does this CLF-C02 question test?

Security and Compliance — This question tests Security and Compliance — Read the scenario before looking for a memorised answer..

What is the correct answer to this question?

The correct answer is: AWS Secrets Manager — AWS Secrets Manager is the correct choice because it is designed specifically for storing, managing, and automatically rotating database credentials, API keys, and other secrets throughout their lifecycle. It meets the compliance requirements by storing secrets separately from code, providing a central management console and API, and supporting automatic rotation every 90 days via built-in integration with AWS RDS, Redshift, and DocumentDB, or custom Lambda functions.

What should I do if I get this CLF-C02 question wrong?

Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.

What is the key concept behind this question?

Read the scenario before looking for a memorised answer.

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Same concept, more angles

3 more ways this is tested on CLF-C02

These questions test the same concept from different angles. Work through them to make sure you can recognise it however the exam phrases it.

Variation 1. A company runs a web application on Amazon EC2 instances behind an Application Load Balancer. The application connects to an Amazon RDS for MySQL database. The database password is currently hardcoded in the application configuration file, and the security team is concerned about the risk of exposure. The company wants to remove the hardcoded credential and instead have the application retrieve the database password securely at runtime. Additionally, the security team requires that the password be automatically rotated every 90 days without any manual intervention or custom scripting. Which AWS service should the company use to meet these requirements?

medium
  • A.AWS Systems Manager Parameter Store (SecureString parameters)
  • B.AWS Key Management Service (AWS KMS)
  • C.AWS Secrets Manager
  • D.AWS Identity and Access Management (IAM) roles for Amazon EC2

Why C: AWS Secrets Manager is the correct choice because it is purpose-built for securely storing, retrieving, and automatically rotating database credentials (including RDS for MySQL) without custom code. It supports native, automatic rotation of secrets every 90 days via a built-in Lambda rotation function, meeting the security team's requirement for zero manual intervention. Unlike Parameter Store, Secrets Manager provides automatic rotation out of the box, which is the key differentiator here.

Variation 2. A company runs a web application that connects to an Amazon RDS for MySQL database. The security policy requires that the database password be rotated every 30 days. The development team wants a fully managed solution that automatically rotates the password, handles the update in RDS, and provides the application with the latest credentials without any code changes. The application should also continue to work during the rotation process. Which AWS service should the company use to meet these requirements?

medium
  • A.AWS Secrets Manager
  • B.AWS Systems Manager Parameter Store
  • C.AWS Key Management Service (AWS KMS)
  • D.AWS Identity and Access Management (IAM)

Why A: AWS Secrets Manager is the correct choice because it provides a fully managed service for automatic password rotation every 30 days, directly integrates with Amazon RDS for MySQL to update the database credentials, and supplies the latest credentials to the application via the Secrets Manager API without requiring any code changes. The rotation process is designed to ensure application availability by using a staged rotation strategy (e.g., creating a new credential while the old one remains valid) so the application continues to work during the rotation.

Variation 3. A company uses an Amazon RDS for PostgreSQL database for its production application. The security policy requires that database passwords be rotated automatically every 90 days. The database credentials are currently stored in a configuration file on an Amazon EC2 instance. The company wants a fully managed AWS service that can securely store the credentials, automatically rotate them on a schedule, and update the RDS instance without requiring code changes to the application. Which AWS service should the company use to meet these requirements?

medium
  • A.AWS Secrets Manager
  • B.AWS Systems Manager Parameter Store
  • C.AWS Key Management Service (KMS)
  • D.AWS Certificate Manager (ACM)

Why A: AWS Secrets Manager is the correct choice because it is a fully managed service designed specifically to securely store database credentials, automatically rotate them on a defined schedule (e.g., every 90 days), and natively integrate with Amazon RDS to update the password without requiring any application code changes. The application can retrieve the current credentials at runtime using the Secrets Manager API, eliminating the need for hardcoded or file-based credentials.

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Last reviewed: Jun 11, 2026

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This CLF-C02 practice question is part of Courseiva's free Amazon Web Services certification practice question bank. Courseiva provides original exam-style practice questions with explanations, topic-based practice, mock exams, readiness tracking, and study analytics to help learners prepare for the CLF-C02 exam.