Risk Assessment Profile

9 Questions | By Financialogy | Updated: Jan 21, 2013 | Attempts: 118

Knowing your own risk appetite plays a really important part in deciding how your investment portfolio will be structured. This quiz gives you a rough idea as to what your risk appetite may be.
Remember, it may not always be the same. People's priorities in life changes, and with that, their risk appetite. Now move along, do let us know what your results are!

Questions and Answers

1.

How far do your friends describe your risk-taking action?
- A.
  
  True gambler
- B.
  
  Real cautious guy
- C.
  
  Only in dead end situation
- D.
  
  Risk = Big NO
2.

Imagine yourself being invited to a TV show, and you are given the following choices to pick. Which would you pick?
- A.
  
  Instant cash of S$ 500
- B.
  
  50% chance in winning S$ 5,000
- C.
  
  20% chance in winning S$ 50,000
- D.
  
  5% chance in winning S$ 150,000
3.

Do you need to access the cash in your investment?
- A.
  
  Yes
- B.
  
  No
4.

How long do you plan your investment to last?
- A.
  
  Short-term (Less than 2 years)
- B.
  
  Medium-term (2 – 5 years)
- C.
  
  Medium to long term (5 -10 years)
- D.
  
  Long-term (more than 10 years)
5.

Which describes your investment objective best?
- A.
  
  No matter what happened, I want my capital to be preserved despite the low gain
- B.
  
  I want to get as much return as possible with all the investments I have
- C.
  
  Definitely I want a high return, but I do not want to risk losing my capital
- D.
  
  I want to get periodic return regularly from my investments like an extra pocket money every month
6.

How much do you know about investment?
- A.
  
  I barely heard of this word
- B.
  
  My friends and I are doing research on it
- C.
  
  I have bought shares and managed funds before
- D.
  
  Somebody taught me about investing lesson and I know how it works
7.

Which type of investment will you most likely go for?
- A.
  
  Stocks (profitable but with significant risk)
- B.
  
  Bonds (stable income with low profit)
- C.
  
  Foreign exchange (highly dangerous but big profit margin)
- D.
  
  Mutual funds (combination of all the above choice)
8.

How much loss can you bear to take?
- A.
  
  Less than 10 % of your total investment
- B.
  
  10 – 15 % of your total investment
- C.
  
  15 – 20 % of your total investment
- D.
  
  20% and above of your total investment
9.

With the current inflation rate of 3.1% as reported July 2010, what is the rate of inflation to make a decision to exit the investment scheme? (Note that inflation marks the uncertainty for economy and thus increase the risks for investors)
- A.
  
  Down to 2% or less
- B.
  
  Maintain around 3%
- C.
  
  Going above 3%
- D.
  
  Doesn’t really matter

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Current Version
Jan 21, 2013

Quiz Edited by
ProProfs Editorial Team
Nov 30, 2010

Quiz Created by
Financialogy

Risk Assessment Profile

How far do your friends describe your risk-taking action?

Imagine yourself being invited to a TV show, and you are given the following choices to pick. Which would you pick?

Do you need to access the cash in your investment?

How long do you plan your investment to last?

Which describes your investment objective best?

How much do you know about investment?

Which type of investment will you most likely go for?

How much loss can you bear to take?

With the current inflation rate of 3.1% as reported July 2010, what is the rate of inflation to make a decision to exit the investment scheme? (Note that inflation marks the uncertainty for economy and thus increase the risks for investors)