Interactive Risk Questionnaire - The Investment Fund Supermarket

This questionnaire will help you determine the most suitable asset allocation, commensurate with your risk tolerance. You can use it to establish how much investment volatilty and risk you are prepared to accept. Please answer the questions below and select 'View your Results'. The results will be published on your screen as a "scattergram", covering the spectrums of risk.

1. The amount of money that you have in savings and other investments amounts to:

Nothing
Negligible amounts
At least 3 months salary
At least 6 months salary
Over 12 months salary

2. Please indicate your response to the following statement- “Apart from my investment portfolio, I have enough money to meet major expenses over the next 12 months.”.

I strongly disagree
I disagree
I neither agree nor disagree
I agree
I strongly agree

3. Not including your residential property, what percentage of your overall assets are you considering investing now?

More than 75%
Between 50% and 74%
Between 25% and 49%
Between 10% and 24%
Less than 9%

4. Please indicate the phrase which best describes your investment objective:

I am cautious and dislike risk, preferring guarantees and predictable returns. I do not feel happy with investments in stocks and shares. I accept this is likely to mean a lower level of growth to my investment fund. I do not want to lose any money. Security is the most important factor for me.
I am prudent in my outlook. Although guarantees have an attraction, I am willing to accept a limited exposure to more risky investments. I would accept a limited degree of fluctuation in the value of my fund, in exchange for the potential of improved medium to longer -term returns. However, I still feel that the safety of my investment is important.
I regard myself as a balanced investor. The potential for higher returns that may be achieved by investing in world stock markets is more attractive to me than the lower growth potential that more secure funds could offer. I am prepared to accept some fluctuation in the value of my fund. I understand that I could lose money, but I am seeking a balance between safety and investment growth.
I am prepared to accept a higher than average degree of risk with my investment fund in the hope of achieving above average longer term returns. I am willing for this investment to be invested more speculatively and understand that the performance of such funds may be volatile, particularly over the shorter term.
I regard myself as an adventurous investor. I am prepared to consider all of my investment as being speculative and am prepared to accept a high degree of risk, for the potential of achieving above average longer term returns. I understand the performance of such investments may be extremely volatile.

5. If you had an investment portfolio which was valued at £100,000, how large a drop in it’s value would you be prepared to tolerate before changing your holdings?

Up to 5%. I would not be prepared to see my portfolio drop to less than £95,000.
Between 6%-10%. I would not be prepared to see my portfolio drop to less than £90,000.
Between 11%-20%. I would not be prepared to see my portfolio drop to less than £80,000.
Between 21%-30%. I would not be prepared to see my portfolio drop to less than £70,000.
No amount of losses would make me change the asset allocation of my investment portfolio – regardless of performance.

6. Fluctuations in the value of your portfolio may lead to better long-term values. Which of the following statements best describes your attitude towards these short-term ups and downs?

Minimising the risk of my investments losing value is essential. I am prepared to accept lower long term growth associated with conservative investments.
I am prepared to accept a degree of short term reductions in value of my investment in return for improved prospects of long term growth potential. However, I still prefer the majority of my investments to be relatively free of higher rates of fluctuation.
Seeking higher, long-term returns is important to me. I am prepared to accept substantial drops in value that may result in investing in less conservative investments.
My main objective is to maximise long-term investment growth and I am willing to accept large, and sometimes dramatic, short term drops in value to achieve this.

7. If you had invested £50,000 one year ago and saw the value of your investment reduce to £42,000, you would...

Sell all of the fund and re-invest the proceeds in a safer investment.
Sell part of the fund and re-invest the proceeds in a safer investment.
Not sell the investment, but hold it in the hope that the value will improve.
Buy more units in the fund, having identified what you consider to be a “buying opportunity”.
Sell the fund and buy a more risky one, in the hope of re-couping your losses.

8. If your entire investment portfolio (not just any proposed new investment) lost money over the next 12 months, would you sell your investments and invest the proceeds more conservatively?

Yes
No