Investment Risk Profiler

Find out which approach to investing could be right for you.

Explore how different factors can influence your investment approach

Before investing, it is important for investors to understand their investment goal, time horizon and risk profile. This risk profile questionnaire will help you determine the amount of risk you are willing to be exposed to when investing in a mutual fund.

It will take 5 minutes to fill this questionnaire. Please tick (✓) the most appropriate answer.

Investment Risk Profiler

Find out which approach to investing could be right for you.

Step 1

1. When I invest my money, my primary goal is:

Step 2

2. Which of these statements best describe your attitude toward volatility?

Step 3

3. Which of these statements best describe your investment objectives?

Step 4

4. What is the approximate loss in any one-year period that would be willing to accept before deciding to change your investments?

Step 5

5. Between September - November 2008, stocks lost more than 30% of their value. Imagine you owned a stock investment that lost about 30% of its value in three months. What would you do?

Step 6

6. Using the hypothetical figures below, choose only one of the five portfolios below which is most acceptable to you?

Step 7

7. When do you expect withdrawing all or a substantial portion of your investment assets?

Step 8

8. Are your total investment assets less than TT$1 million?

Step 9

9. If your response to Question 8 is No, is the amount you are investing less than 10% of your total investment assets?

Step 10

Investor Profiles

The chart on the below shows the target asset allocation for each investor profile and a corresponding description. The investor profiles do not consider alternative investment exposure. An individual’s profile as an investor can depend on several criteria including:

The goal and its time frame

Investors who have multiple goals often are willing to take more risk with some goals than with others. Generally, a critical goal or an objective that has a time frame of less than three years may dictate a conservative investing approach. Less critical goals or objective with time horizons of more than three years may allow for a more aggressive investing approach, because there is generally time recover from market downturns.

Personality

Some people’s personalities are simply geared toward lesser or greater risk taking.

Income and asset base

The larger your income and asset base, the more risk you may be willing to take, at least for some subset of your investments. This is because you have a greater ability to recover from investments that may not perform as expected. Conversely, some investors with a large asset base may feel more comfortable with a more conservative approach, knowing they do not need to take on additional risk in order to meet their goals.

Your investment risk profile is Moderate

36 Moderate
  • Stocks
  • Bonds
  • Cash
See More Profiles

Conservative

20% 60% 20%

For investors who are willing to take a moderate level of risk. Primary emphasis is to strike a balance between portfolio stability and portfolio appreciation. Investors using this model should be willing to assume a moderate level of volatility and risk of principal loss. A typical portfolio will primarily include a balance of fixed income and equities.

Moderately Conservative

40% 50% 10%

For investors who are willing to take a moderate level of risk. Primary emphasis is to strike a balance between portfolio stability and portfolio appreciation. Investors using this model should be willing to assume a moderate level of volatility and risk of principal loss. A typical portfolio will primarily include a balance of fixed income and equities.

Moderate

60% 35% 5%

For investors who are willing to take a moderate level of risk. Primary emphasis is to strike a balance between portfolio stability and portfolio appreciation. Investors using this model should be willing to assume a moderate level of volatility and risk of principal loss. A typical portfolio will primarily include a balance of fixed income and equities.

Moderately Aggressive

70% 25% 5%

For investors who are willing to take a moderate level of risk. Primary emphasis is to strike a balance between portfolio stability and portfolio appreciation. Investors using this model should be willing to assume a moderate level of volatility and risk of principal loss. A typical portfolio will primarily include a balance of fixed income and equities.

Aggressive

80% 15% 5%

For investors who are willing to take a moderate level of risk. Primary emphasis is to strike a balance between portfolio stability and portfolio appreciation. Investors using this model should be willing to assume a moderate level of volatility and risk of principal loss. A typical portfolio will primarily include a balance of fixed income and equities.

Conservative

20% 60% 20%

For investors who are willing to take a moderate level of risk. Primary emphasis is to strike a balance between portfolio stability and portfolio appreciation. Investors using this model should be willing to assume a moderate level of volatility and risk of principal loss. A typical portfolio will primarily include a balance of fixed income and equities.

Moderately Conservative

40% 50% 10%

For investors who are willing to take a moderate level of risk. Primary emphasis is to strike a balance between portfolio stability and portfolio appreciation. Investors using this model should be willing to assume a moderate level of volatility and risk of principal loss. A typical portfolio will primarily include a balance of fixed income and equities.

Moderate

60% 35% 5%

For investors who are willing to take a moderate level of risk. Primary emphasis is to strike a balance between portfolio stability and portfolio appreciation. Investors using this model should be willing to assume a moderate level of volatility and risk of principal loss. A typical portfolio will primarily include a balance of fixed income and equities.

Moderately Aggressive

70% 25% 5%

For investors who are willing to take a moderate level of risk. Primary emphasis is to strike a balance between portfolio stability and portfolio appreciation. Investors using this model should be willing to assume a moderate level of volatility and risk of principal loss. A typical portfolio will primarily include a balance of fixed income and equities.

Aggressive

80% 15% 5%

For investors who are willing to take a moderate level of risk. Primary emphasis is to strike a balance between portfolio stability and portfolio appreciation. Investors using this model should be willing to assume a moderate level of volatility and risk of principal loss. A typical portfolio will primarily include a balance of fixed income and equities.