Risk Investment Profiler

Please note the objective of this review is to help your financial adviser to assess your attitude and ability to take risk. Margetts have designed this risk profiler purely to provide the adviser with feedback. Completing the risk profiler no way commits you and this questionnaire does not constitute financial advice.

The questions are designed to allow your adviser to analyse your responses in the context of risk tolerances. The review is a guide only, therefore you should set out any specific objectives separately.

Your attitude to investment risk is central to selecting an investment portfolio, please consider each question carefully and provide the most appropriate answer. The answers you provide may be used by your adviser to recommend a suitable portfolio:-

How much risk on a scale of 1 - 10 do you think that you are able to take? 1 is the lowest risk e.g. cash in a bank or building society and 10 is the highest risk e.g. borrowing to invest in volatile assets such as derivatives. An average risk investor with a balanced portfolio would be 3 - 4.

Self-assessed risk:

Ability to take risk-

  1. Is this portfolio intended to form part of your savings for retirement? E.g. a pension.
  2. How would you classify your stage of life?
  3. How many years do you reasonably expect to hold your portfolio of investments?
  4. How much disposable income do you have?
  5. How wealthy do you feel?
  6. Do you need to make any withdrawals from your portfolio?
  7. What is the objective of this portfolio?
  8. Attitude to risk and willingness to take risk

  9. Are you willing to accept that the value of your portfolio may fluctuate?
  10. If we said that it is better that the value of your portfolio did not fluctuate by much in any given month, however that this also meant that the return generated over time will be low, would you:-
  11. The majority of investments are likely to fluctuate in value. Which hypothetical series of returns would most likely meet your expectations?
      Bad Year Average Year Good Year
  12. If your portfolio fell in value (paper loss) you would become very concerned once these losses were in the region of:
  13. During periods of market volatility it is possible that equity markets will incur sharp losses. If your portfolio fell by 20% or more, what action would you take?
  14. The value of your investment can go down as well as up. After sharp market declines, equity investments may take several years to recover. How long are you prepared to wait to recover these losses?
  15. How would your friends or family describe the way you make decisions?
  16. What experience in investing in financial markets do you have?