How to Determine an Investment Risk Profile?

[Suba]

An investment risk profile is an indicator or guide to determine the level of investment risk that an investor can tolerate or accept in allocating their funds. There are several factors that influence a person's investment risk, such as:
1. Age, in general the younger you are, the higher the risk of tolerance. One easy way to determine an investment risk profile based on age is 100-age = high risk tolerance.
2. Financial conditions, the better the financial conditions, the higher the risk tolerance.
3. Status, someone who is unmarried or single will have a higher risk of tolerance compared to someone who is married and has children.

 

[Starmix]

It is better to know the right thing in investment concerning risks. There is no perfection in investment. It is also good to know about the factors involved like age, financial status, and marital status.

 

[Suba]

Even though there is no perfection, we must strive to be close to perfection, to know the right thing in investment concerning risks, including investing skills. If you have mastered the basics of investing, your risk tolerance will also be higher.

 

[Augusta]

That's right to find your personal risk profile you need to , factor in your age, investment horizon, income stability, expenses and other goals.