module 2 your risk profile

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Page 1: Module 2 Your Risk Profile

Your Risk Profile

1. Compared to others, how do you rate your More Willing Average Less Willing

willingness to take financial risks?

2. When you think of ‘risk’ with respect to investing? Possible earnings What are the pros and cons Possible Losses

What sums up your first thoughts?

3. How easily do you adapt when things go Quickly It is Difficult Can't cope

wrong financially?

4. How much confidence do you have in your Confident Reasonably Confident Not Confident

ability to make good financial decisions?

5. If you had to choose between more job Less security more payrise More security less payrise I am not sure

security with a small pay rise, or less job security

and a big pay rise, which would you pick?

6. When faced with a major financial decision, Usually gains

usually the gains but

sometimes the losses Usually losses

do you concentrate more on possible gains or

possible losses?

7. Would you borrow money to make an investment? Yes Possibly No

8. How much of your investment portfolio would you be

willing to place in an investment that you thought had a high

opportunity of high returnn but a potential for a large loss? More than 50% About 30-50% Less than 10%

9. If property prices were reported as dropping by 20% what

best describes your response?

No problem property investing

is a long term investment over

time it will even out

A bit concerned and would

need to recheck assumptions

and information on why a

property was purchased

Really worried and sick to

the stomach

10. What best describes how you would react to your

property being untenated for a period of time Would do nothing

Would recheck the comparable

rentals in the area and discuss

with property manager

Would drop rent

immediately to get a tenant

Courtesty of Your Property Success COPYRIGHT 2011