What is Your Investing Profile?
The Sagicor Advisor
January 08, 2019
Investing
Your investing profile is also related to your personality! Take our quiz to determine your investing profile…and learn a little bit about the three major aspects of investing along the way.
QUIZ:
What’s your investing profile? Even though you don’t have to be an expert to invest, if you are new to investing then you will probably want to rely on experts like your Sagicor Advisor to assist you. Find out your risk tolerance and time horizons with this quick quiz!
Risk Tolerance
How much investing experience do you have?
How much money do you have to invest?
Can you live with the risk that your investments will decline in value, even temporarily?
Will stock market fluctuations make you worry?
If you answered mostly 1 – You are moderately risk tolerant.
If you answered mostly 2 – You are highly risk tolerant. Risk is a major part of what gets rewarded in capital markets, so high-risk investments may see big gains. Remember, that means they can see big losses too.
If you answered mostly 3 – You have low risk tolerance. This could mean that you have minimal funds to invest, and should choose low risk options. It could also mean that you do have significant funds to invest, but that your personality is risk averse. Even wealthy investors may prefer to stick to conservative investments.
Time Horizons
What stage of life are you in?
When will you need to cash in your investment?
If you answered mostly 1 – You can take advantage of long term investment options. Remember, time is on your side.
If you answered mostly 2 – You can take advantage of short term investment options.
If you answered mostly 3 – Your short time frame may impact your ability to invest.
QUIZ:
What’s your investing profile? Even though you don’t have to be an expert to invest, if you are new to investing then you will probably want to rely on experts like your Sagicor Advisor to assist you. Find out your risk tolerance and time horizons with this quick quiz!
Risk Tolerance
How much investing experience do you have?
- I have a bit of experience with basic investments.
- I understand the international market dynamics of the major asset classes.
- This is all new to me!
How much money do you have to invest?
- A little, I’ve started saving and putting some aside
- A substantial amount
- None at all
Can you live with the risk that your investments will decline in value, even temporarily?
- I can make do, though it may hamper my future investing
- Yes, I have enough steady income or savings
- No way
Will stock market fluctuations make you worry?
- Yes, even though I know it won’t impact my financial stability
- No, it’s all part of investing
- Yes! I won’t be able to sleep at night.
If you answered mostly 1 – You are moderately risk tolerant.
If you answered mostly 2 – You are highly risk tolerant. Risk is a major part of what gets rewarded in capital markets, so high-risk investments may see big gains. Remember, that means they can see big losses too.
If you answered mostly 3 – You have low risk tolerance. This could mean that you have minimal funds to invest, and should choose low risk options. It could also mean that you do have significant funds to invest, but that your personality is risk averse. Even wealthy investors may prefer to stick to conservative investments.
Time Horizons
What stage of life are you in?
- I’m under 35
- I’m getting ready for retirement
- I’m in mid-life
When will you need to cash in your investment?
- I won’t need it for 20 to 30 years
- Within 10-15 years
- I may need it as a source of income right now
If you answered mostly 1 – You can take advantage of long term investment options. Remember, time is on your side.
If you answered mostly 2 – You can take advantage of short term investment options.
If you answered mostly 3 – Your short time frame may impact your ability to invest.