Risk Profile Questionnaire
Get ready to discover what sort of investor you are
The questionnaire is a guide to help you decide:
- How you feel about risk and return
- How you may like to plan for your goals
- How those decisions may influence the way you invest
The investor quiz is not a substitute for professional advice
It is a guide only and does not take into consideration your individual objectives, financial circumstances or needs. You should assess your own financial situation, taking into account your existing investments, commitments, investor needs and time horizon before making your investment decisions.
Types of Investors
Defensive
Your goal is to ensure the security of your investments. You’re prepared for your investments to have little growth in return for the peace of mind and stability. You’ll invest predominantly in defensive assets and your suggested minimum investment timeframe is 2 years.
Conservative
Your goal is to have mostly stable returns in the short and medium term. You’re prepared to give up the potential for higher returns over the long term for the comfort of less volatility. You’ll mostly invest in defensive assets and your recommended minimum investment timeframe is 3 years.
Moderate
Your goal is to generate wealth over the medium to long term, while having some protection from the ups and downs in the short term. Your investments will be split between growth and defensive assets to achieve a balance between growth potential and risk mitigation. Your suggested minimum investment timeframe is 5 years.
Balanced
Your goal is to produce returns which are ahead of inflation over the longer term, but you understand that the value of your investments may fall in the short term. You’ll mostly invest in growth assets and your suggested minimum investment timeframe is 5 years.
Growth
Your goal is to produce strong returns which are well ahead of inflation over the long term. You understand that your investments can have large falls in the short term. You will predominantly invest in growth assets and your suggested minimum investment timeframe is 7 years.
Why is a Risk Profile Important?
When it comes to investing, everyone has different levels of comfort with risk. Some individuals are more comfortable with market volatility, while others prefer a stable, predictable approach. Understanding your risk tolerance is crucial because it allows us to:
- Tailor Your Investment Strategy: Align your portfolio with your risk comfort and long-term goals.
- Help You Avoid Emotional Decisions: Knowing your risk profile helps you stick to your strategy, even when markets fluctuate.
- Ensure Long-Term Success: The right balance between risk and reward is vital for achieving your financial goals, whether it’s saving for retirement, buying a home, or funding your child’s education.
