- A
AWS Systems Manager Parameter Store
Why wrong: Parameter Store can store secrets but does not have native automatic rotation. It requires custom solutions.
- B
AWS Key Management Service (KMS)
Why wrong: KMS is for creating and managing encryption keys, not for storing secrets or rotation.
- C
AWS Secrets Manager
Secrets Manager is designed for storing secrets with built-in rotation capability and fine-grained access control using IAM policies.
- D
AWS CloudHSM
Why wrong: CloudHSM is a hardware security module for key generation and storage, not for secret management.
Question 1,386 of 1,705
Securely Store and Automatically Rotate Secrets with AWS Secrets Manager
This ANS-C01 practice question tests your understanding of network security, compliance and governance. Match the stated requirement to the specific cloud service, access model, or configuration option — many options are valid in isolation but not for this scenario. 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 wants to securely store and manage secrets such as database passwords and API keys. They need to automatically rotate secrets every 30 days and ensure that only specific IAM roles can access them. Which AWS service should they use?
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 purpose-built for securely storing, managing, and automatically rotating secrets such as database passwords and API keys. It supports native rotation with AWS Lambda, enforces fine-grained access control via IAM roles, and can rotate secrets on a schedule (e.g., every 30 days) without custom scripting.
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 Systems Manager Parameter Store
Why it's wrong here
Parameter Store can store secrets but does not have native automatic rotation. It requires custom solutions.
- ✗
AWS Key Management Service (KMS)
Why it's wrong here
KMS is for creating and managing encryption keys, not for storing secrets or rotation.
- ✓
AWS Secrets Manager
Why this is correct
Secrets Manager is designed for storing secrets with built-in rotation capability and fine-grained access control using IAM policies.
Related concept
Read the scenario before looking for a memorised answer.
- ✗
AWS CloudHSM
Why it's wrong here
CloudHSM is a hardware security module for key generation and storage, not for secret management.
Common exam traps
Common exam trap: answer the scenario, not the keyword
The trap here is that candidates often confuse AWS Systems Manager Parameter Store (which can store secrets securely but lacks native rotation) with AWS Secrets Manager, leading them to choose Parameter Store when automatic rotation is explicitly required.
Detailed technical explanation
How to think about this question
AWS Secrets Manager uses an integrated Lambda rotation function that can be customized to update the secret in the target service (e.g., RDS, Redshift) and the Secrets Manager store atomically. The rotation process follows a four-phase state machine (create secret, set secret, test secret, finish secret) to ensure zero-downtime rotation. A common real-world scenario is rotating RDS master passwords: Secrets Manager can directly update the RDS instance and invalidate the old password, which Parameter Store cannot do natively.
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 company's IT admin needs to give a contractor read-only access to production logs without sharing account credentials. Using role-based access control (RBAC) and temporary scoped permissions — not a permanent shared password — is the correct pattern. Questions like this test whether you can apply least-privilege access across cloud identity services.
Quick reference
Cloud Service Model Comparison
| Model | You Manage | Provider Manages | Examples |
|---|---|---|---|
| IaaS | OS, runtime, apps, data | Hardware, hypervisor, networking | EC2, Azure VMs, GCP Compute Engine |
| PaaS | Apps and data | OS, runtime, middleware, hardware | Elastic Beanstalk, Azure App Service |
| SaaS | Data and settings only | Everything else | Microsoft 365, Salesforce, Workday |
| FaaS / Serverless | Function code only | Infra, scaling, runtime | Lambda, Azure Functions, Cloud Run |
| CaaS | Containers and apps | Kubernetes, OS, hardware | EKS, AKS, GKE |
What to study next
Got this wrong? Here's your next step.
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FAQ
Questions learners often ask
What does this ANS-C01 question test?
Network Security, Compliance and Governance — This question tests Network Security, Compliance and Governance — 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 purpose-built for securely storing, managing, and automatically rotating secrets such as database passwords and API keys. It supports native rotation with AWS Lambda, enforces fine-grained access control via IAM roles, and can rotate secrets on a schedule (e.g., every 30 days) without custom scripting.
What should I do if I get this ANS-C01 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.
About these practice questions
Courseiva creates original exam-style practice questions with explanations and wrong-answer analysis. It does not publish real exam questions, exam dumps, or protected exam content. Learn why practice questions differ from exam dumps →
Same concept, more angles
2 more ways this is tested on ANS-C01
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 is using AWS Secrets Manager to store database credentials. They want to ensure that the credentials are automatically rotated every 30 days. Which configuration is required?
easy- ✓ A.Enable automatic rotation in the secret configuration and provide a Lambda rotation function.
- B.Store the secret in AWS Systems Manager Parameter Store and configure a rotation schedule.
- C.Store the secret in AWS CloudHSM and use a scheduled Lambda to rotate.
- D.Use IAM Access Analyzer to rotate the credentials periodically.
Why A: Option A is correct because AWS Secrets Manager provides built-in automatic rotation using a Lambda function. Option B is incorrect because AWS Systems Manager Parameter Store does not support automatic rotation of secrets; it is designed for configuration management. Option C is incorrect because AWS CloudHSM is a hardware security module for storing cryptographic keys, not for automating credential rotation. Option D is incorrect because IAM Access Analyzer analyzes resource policies to identify unintended access, not to rotate credentials.
Variation 2. A company wants to securely store secrets such as database credentials and API keys. Which TWO AWS services can be used for this purpose? (Choose two.)
medium- ✓ A.AWS Systems Manager Parameter Store
- B.Amazon S3
- C.AWS CloudFormation
- ✓ D.AWS Secrets Manager
- E.AWS Identity and Access Management (IAM)
Why A: Option A (AWS Systems Manager Parameter Store) and Option D (AWS Secrets Manager) are correct. Parameter Store can store secrets securely with encryption and integrates with AWS KMS. Secrets Manager is designed for secrets with automatic rotation and fine-grained access control. Option B (Amazon S3) is not secure by default and requires additional configuration. Option C (AWS CloudFormation) is for infrastructure as code, not for storing secrets. Option E (AWS Identity and Access Management) is for managing users and roles, not for storing secrets.
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Last reviewed: Jun 24, 2026
This ANS-C01 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 ANS-C01 exam.
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