A company uses Microsoft 365. The company needs to label emails and documents that contain confidential text. You need to identify a feature that meets this requirement. Which feature should you…

Customer Key is a Microsoft 365 encryption feature that lets organizations control their own encryption keys for data at rest, but it does not classify or label content based on confidential text.

Sensitivity labels, part of Microsoft Purview Information Protection, can be manually applied or auto-applied to emails and documents based on content inspection for sensitive text. They enable classification, visual markings, and protection policies (like encryption) that travel with the content across Microsoft 365 services.

Microsoft Outlook rules automate actions like moving or forwarding emails based on basic conditions, but they do not provide a classification or labeling framework for identifying and protecting confidential content.

Retention labels are used to manage the lifecycle of content by defining how long data should be kept or deleted, not to classify or protect content based on confidential text.