Assess Your Level of Risk Tolerance

The following questionnaire is designed to help you assess your level of risk tolerance. Questionnaire results can serve as a guide to choosing the investments that complement your financial goals. Discuss the results with your financial advisor.

No matter what type of investor you are, it is important to diversify. That means distributing your money across different types of investments so that you’re not putting all your eggs in one basket. You may place some of your funds in conservative financial vehicles with a guaranteed rate of return, while putting additional money in aggressive investments that carry more risk but have a possibility of greater returns.

Circle the answer that best describes your response. Agree Strongly= 1 pt. Agree Somewhat= 2 pts. Disagree = 3 pts.
			Agree Strongly	Agree Somewhat	Disagree
		1. Preservation of capital is most important to me.	1	2	3
		2. I would accept a lower yield on my bond investments in exchange for the relative safety of government securities.	1	2	3
		3. Although emerging growth stocks offer high potential return, I would prefer a portfolio of established, high-quality equity securities.	1	2	3
		4. I would choose share price stability over higher current return.	1	2	3
		5. Portfolio diversification is an important investment consideration.	1	2	3
		6. I would accept a lower current yield if I could access my money at any time.	1	2	3
		7. I would choose U.S. government bonds versus stocks as my primary long-term investment.	1	2	3
		8. I would choose current liquidity over higher, long-term total return.	1	2	3
	Score Risk Tolerance Investment Approach 8-12 pts. Lower Conservative Concerned with capital preservation Wish to avoid market's ups and downs Liquidity (easily converted into cash) Preservation of capital 13-17 pts. Moderate Moderate Have more available income Emphasis on capital appreciation Income Capital appreciation Total return 18-24 pts. Higher Aggressive Have both time and money to ride out the market's ups and downs Seek maximum growth and appreciation Maximum capital appreciation