Tolerance to market risk can be a tricky thing. When markets are growing it is easy to believe that we are more tolerant of risk than we may actually be. For example, if an account grows by 10 percent we feel good about the growth; that is until we see that one area of the market grew by 20 percent. Suddenly, we feel slighted. In response we reposition investments to take on more risk. This is a common mistake. Risk tolerance should be based on our willingness to lose money. After all, who has a limit on how much money they are willing to make?
Smedley Financial has a new tool that helps our clients identify their risk tolerance. We use this tool to confirm your investments are properly aligned with your actual tolerance for risk. It encompasses all investments regardless of where they are held.
Through a 5 minute quiz covering topics such as portfolio size, top financial goals, and what you are willing to risk for potential gains, we will pinpoint your exact Risk Number.
This technology empowers us to make sure the Risk Number of your portfolio, including all investments, matches your personal Risk Number.
Taking the quiz is easy and can be done in the privacy of your home or office, on a computer or mobile device, at any time. We email you the link and after you have completed the quiz we will see the result. By pinpointing your Risk Number we can analyze your personal portfolio to verify everything is on track.
Call today and request your risk tolerance analysis.