Investment Risk Tolerance and Investment Personality

There are plenty of websites you can find online to help you get a feel for your investment risk tolerance.

One website we have found useful for this is:

There is a small fee to do this particular risk questionnaire, but we feel it is worthwhile doing nonetheless – the questionnaire is an evidence-based way of determining your risk tolerance.

Your investment personality is a reflection of your investment risk tolerance as well as your general personality traits, character, nature, disposition, knowledge, experience and skills.

As you can imagine, it is not that easy to determine what your investment personality really is, and many people only do so after many years of investing and some costly financial lessons.

Therefore, it is worthwhile always trying to keep this in mind by continually asking yourself whether any potential investment suits your risk tolerance as well as your personality.

As the saying goes… “know thyself”!

Read Investment Philosophy and Investment Style next…

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