| What We Do : Attitude to Risk
What is your attitude to risk?.
As part of our fact finding analysis we work with you to identify your attitude to risk. Some of the questions used to obtain this information are below:-
1) How do you rate yourself on your willingness to take financial risks?
- Low risk taker
- Average risk taker
- High risk taker
2) By how much could the total value of your investments go down before you would begin to feel uncomfortable?
- Up to 20%
- Up to 10%
- Any fall would make me feel uncomfortable
3) Where 1 represents lowest risk and 10 the highest, which of the following would you consider yourself to be?
- 1 Very cautious
- 2 Fairly cautious
- 3 Cautious
- 4 Cautious to moderate
- 5 Moderate
- 6 Moderate to speculative
- 7 Speculative
- 8 Speculative to very speculative
- 9 Very speculative
- 10 Ultra Speculative
With this information we are then able to provide you with a risk grade. The grades on a scale of 1 to 10, where 1 represents the lowest risk and 10 the highest risk are as follows:
Risk Grade 2 : Very Cautious to Cautious
You prefer very stable returns even if this means the long-term return is lower
Risk Grade 3 : Cautious
You prefer stable returns even if this means the long term return is lower.
Risk Grade 4 : Cautious to Moderate
You prefer stable returns even if this means the long term return is lower.
Risk Grade 5 : Moderate
You are willing to accept moderate volatility for the chance of higher long term returns.
Risk Grade 6 : Moderate to Speculative
You are willing to accept more volatility for the chance of higher long term returns.
Risk Grade 7 : Speculative
You are willing to accept more volatility for the chance of higher long term returns.
Risk Grade 8 : Speculative to very Speculative
You are willing to accept higher volatility for the chance of higher long term returns.
Risk Grade 9 : Very Speculative
You are willing to accept higher volatility for the chance of higher long term returns.
Risk Grade 10
You are willing to accept very high volatility for the chance of higher long term returns
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