Understanding Risk Tolerance and Its Impact on Investing

Risk Tolerance

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Ever wondered why some people’s investments seem daring, jumping like a roller coaster, while yours are calm, like a merry-go-round? It all comes down to risk tolerance. This small factor has a huge impact in the investing world.

Your risk tolerance is your comfort with financial risks. It shows how much risk in investing you can handle without getting too stressed. It greatly affects whether you take big risks or play it safe with your money. This choice influences your approach to investing, affecting which stocks or bonds you choose1.

Consider risk tolerance as your financial attitude. Do you enjoy the excitement of poker, or are you more a fan of steady bingo wins? How you answer reflects your investing style. For example, if you like to see your money grow fast, you might lean towards stocks over bonds1.

If the ups and downs of the market make you anxious, you may lean towards being a more cautious investor. These cautious investors look for options that are safer, like bank CDs or U.S. Treasuries. They focus on keeping their money safe1. But, finding a balance is okay – moderate investors often choose a mix of 60% stocks and 40% bonds12.

Your risk tolerance level isn’t fixed. It can change due to different factors, like your life stage or sudden financial gains. Ready to explore how risk tolerance can be your investing secret weapon?

Key Takeaways

  • Risk tolerance shapes your investment style and the assets in your portfolio
  • It changes based on your age, financial goals, and situation
  • Those aiming for growth usually go for more aggressive tactics, while those prioritizing safety opt for less risky options
  • Moderate investors often balance their investments with a 60/40 split between stocks and bonds
  • Your risk tolerance can shift with changes in your life and financial circumstances
  • Knowing your risk tolerance is key to smart investing

Decoding Risk Tolerance: Your Financial Comfort Zone

Knowing your comfort level with financial risks is crucial. It shapes your investment plan and how you react to market changes. Your risk tolerance level guides your choices and affects your peace of mind.

What Risk Tolerance Really Means

Risk tolerance is how much financial uncertainty you can handle. It involves deciding how much risk is worth the potential gains. This level can change due to market conditions, economic changes, and personal details like age and income3.

Why Your Risk Tolerance Matters

Understanding your risk tolerance is important in creating the right investment approach. It allows you to find a balance between growing your money and feeling secure. You can use risk assessment tools to figure out your position3.

“Only 7% of investors can tolerate having more than 75% of their total investments in stocks, with a mere 1% able to handle more than 87%.”4

The Psychology Behind Risk Tolerance

Our risk tolerance is linked to how we think and feel. It’s not just about the numbers but also our emotions, past experiences, and personal views. Some people are okay taking big risks for the chance of more gain. Others prefer safer options3.

Understanding these differences helps us make smarter choices. It prevents us from making sudden reactions when the market is unstable.

Our comfort with financial risks can change as our lives change. So, it’s wise to review your risk tolerance regularly. This keeps your investment plan in line with any new financial situations354.

The Risk Tolerance Spectrum: From Conservative to Aggressive

Think of the investment world like a lively tapestry. It’s made of different bold choices. Your comfort with risk decides the parts you want to engage with. Explore from conservative investing’s calm colors to the excitement of aggressive moves.

Conservative investors act like careful gardeners. They pick low-risk, slow-growing options. Safeguarding their savings is key, so they often go for money market funds or government bonds6. These strategies let them focus on preserving what they have and earning steadily.

In the middle, there are moderate investors. They’re like artists, blending safety with growth. To find a balance, they mix stocks and bonds. This mix aims for some growth while managing risks7.

Now, the bold – aggressive investors. They are the daredevils of finance. They aim for high returns and are okay with the risks. Their choices include growth stocks, complex options, and cryptocurrencies6.

Risk Tolerance Level Investment Approach Typical Investments
Conservative Capital preservation, steady income Government bonds, CDs, money market funds
Moderate Balance of growth and stability Mix of stocks and bonds
Aggressive Maximum growth, high risk tolerance Growth stocks, options, cryptocurrencies

Your spot in this spectrum can change. Things like age and money might shift your views on risk. Knowing your goals and being comfortable with where you stand here is crucial for a balanced investment plan67.

Factors Shaping Your Risk Tolerance

Your risk tolerance changes over time. It depends on many things in your life. We will look at what affects how much risk you are willing to take with your money.

Age and Investment Horizon

Age matters a lot in deciding how much risk you can handle. Younger people can often take more risks because they have time to recover money they may lose8. As you get older, you might want to play it safe to keep the money you’ve built up over the years.

Financial Goals and Objectives

What you want to achieve financially really changes how much risk you’re okay with. If you’re looking to buy something soon or save for when you don’t work anymore, this influences your investment choices. People aiming for big growth might choose to invest largely in stocks. Those looking to protect what they have will stay away from risky investments8.

Personal Experiences and Biases

What’s happened to you financially before can really shape how much risk you’re willing to take now. If you’ve seen hard times but have still done well, you might feel more comfortable taking risks. However, if bad times have made you more hesitant to invest, you might prefer safer options.

Risk Tolerance Stocks Bonds Cash Annualized Return Max Loss
Conservative 30% 50% 20% 8.1% -14.0%
Moderate 60% 30% 10% 9.4% -32.3%
Aggressive 80% 15% 5% 10.0% -44.4%

This table shows how different risk levels can affect your investment mix and outcomes. More risk can mean more gain but also larger potential losses9. It’s important to choose what fits your goals and how safe you want to play it8109.

Risk Tolerance vs. Risk Capacity: Understanding the Difference

When you think about investing, understanding risk tolerance is key. But don’t forget risk capacity. They’re closely related yet different. Both are vital for your financial journey.

Risk tolerance is how much risk you’re okay with in investing. It’s shaped by your age, how much you make, and if you have kids11. Risk capacity shows how much financial risk you can handle12. It’s a more numbers-based look at your situation.

Several things affect your risk capacity:

  • What you have and owe now
  • What you might gain or lose later
  • Data about the industry you’re in
  • Any money set aside for retirement
  • How much you’ve saved already for retirement
  • When you plan to retire

Knowing these differences is crucial. You might not be able to take big risks even if you feel fine about it12.

Think of an organization with a $100 million risk capacity. They could choose to risk $80 million. With a little wiggle room, maybe up to $84 million. This mix of caution and risk-taking aims for stable growth13.

As time passes, your willingness to risk money might wane. But big life changes can also sway it the other way11. It’s smart to often relook at your risk comfort and capacity. This keeps your investment plans on track.

Aspect Risk Tolerance Risk Capacity
Definition Willingness to take risks Ability to absorb losses
Measurement Personal feelings and surveys Looking at financial figures
Influencing Factors Age, income, family status What you own, what you owe, future earnings

Matching your risk tolerance with your capacity can make you more successful financially. And keep your mind at ease. Talking to a finance expert can help you find a path that’s right for you.

How Time Horizon Influences Risk Tolerance

Your investment time horizon is key in deciding how much risk you can handle. The time you plan to leave your money in investments affects your strategy. It also changes how daring you are with taking on risk.

Short-Term vs. Long-Term Investing

Short-term investors usually play it safe because they want to protect their money. For example, if you’re saving for a house in five years, you’d choose safer options14. This often means picking bonds with lower risk. But, if you’re investing for the long haul, you have more options. These may have higher returns but also more risk14.

Here’s a simple view of how investment strategies differ by the time you plan to keep your money invested and how much risk you’re okay with:

Time Horizon Risk Tolerance Investment Strategy
Short-Term Low Conservative (e.g., short-term bonds)
Short-Term High Mix of conservative and higher-yield options
Long-Term Low Conservative, even with extended timeline
Long-Term High Aggressive (e.g., stocks, mutual funds)

Adjusting Risk Tolerance as You Age

As you grow older, your views on risk and investing change. In your 20s or 30s, with a lot of time ahead for your money to grow, you might take more risks. You could go for things like stocks or mutual funds15. But, as people near retirement, they often look for safer options to protect what they’ve earned. This leads to choices like bonds or fixed deposits15.

Remember, how long you plan to invest has a big impact on what you choose to invest in and your approach to risk16. Matching your investment strategy with your time horizons and goals is crucial. It helps you do well in the long run with your investments.

The Role of Net Worth in Determining Risk Tolerance

Your net worth is key in molding how much risk you’re okay with. It’s not just the amount of money you have. It’s also how much you can lose without harming your daily life17.

Imagine your wealth as a pyramid. At the bottom are the safest choices like cash and government bonds. Getting higher means more risk but also more reward. Your net worth shows how far up the pyramid you can go17.

It gets interesting as your net worth grows. You might actually become more careful. Why? Because the more you have, the more that’s at stake. But, there’s a bright side. With a bigger net worth, you can take smart risks with some of your money18.

Now, let’s simplify it:

Net Worth Level Risk Tolerance Investment Focus
Low Conservative Savings, Bonds
Medium Moderate Balanced Mix
High Aggressive Stocks, Real Estate

But remember, risk tolerance is about more than just money. It blends your financial health, objectives, and who you are. Even those with a lot of wealth may prefer low-risk options. And those with less might be quite adventurous. It’s about figuring out what works best for you19.

So, assess your net worth and the risk you’re willing to take. Then, develop a plan that lets you rest easy at night while also aiming for financial growth. Because the aim is to increase your wealth, not stress over it!

Risk Tolerance and Asset Allocation: Finding the Right Mix

Success in investing depends on finding the right mix of risk and reward. Asset allocation is key, personalizing your investments to suit how much risk you’re comfortable with.

Stocks, Bonds, and Cash: Balancing Act

Every asset class plays a special role in your investments. Stocks bring growth. Bonds offer income and stability. Cash keeps things safe. How much of each you have is decided by your risk tolerance20.

Asset Allocation Avg. Annual Return Best Year Worst Year
100% Bonds 5.3% 32.6% (1982) -8.1% (1969)
50% Stocks/50% Bonds 8.2% 32.3% (1933) -22.5% (1931)
100% Stocks 10.1% 54.2% (1933) -43.1% (1931)

More stocks historically mean better returns but larger losses in downturns20.

Diversification Strategies for Different Risk Tolerances

Your risk tolerance guides your diversification plan. If you’re cautious, you might choose more fixed-income and cash to protect your money21. But those who are more daring favor stocks for growth over time21.

Keep in mind, your risk tolerance can change. Just like how your investment approach will likely shift with time and as your financial situation changes22. Staying on top of your portfolio by reviewing it often helps to keep it in line with your goals21.

Matching your investments to your risk tolerance makes your investment path smoother. It’s all about balance, making sure you’re comfortable with the risks you take for the potential returns.

Measuring Your Risk Tolerance: Tools and Assessments

Thinking about starting to invest but not sure how much risk you’re okay with? Let’s see how to check your comfort with ups and downs in the stock market. We’ll use risk tools and questions to guide you in this step.

Imagine you’re asked how you’d handle it if your money suddenly decreased. Would you stay calm or worry a lot? These questionnaires aim to show what you’d really do.

But there’s a twist: these quizzes often mix up how much risk you can take with how much you should take23. It’s a bit like confusing different kinds of fruit. Yes, they’re all fruits, but not the same kind!

Consider these to better understand your risk tolerance:

  • How long you plan to keep your investments (over 10 years means more risk might be okay)24
  • If your income is steady (this could mean you’re fine with more risk)24
  • If you have kids (children might mean you need more savings for emergencies)24

Your risk comfort is not always fixed. Your background, gender, how you grew up, and even the day’s weather can affect it24. So, it might change as you go through life’s financial ups and downs!

Be true to yourself when figuring out your risk comfort. This isn’t to show off but to see what suits you best. Whether you love the excitement of new digital money or prefer safer investments, there’s a mix that fits you25.

Now, get that risk test, answer honestly, and begin making a portfolio that helps you sleep well while you aim for financial success!

Common Mistakes in Assessing Risk Tolerance

Finding out your risk tolerance is key to making wise investments. But, it’s easy to make mistakes. We’ll look at common errors and how to avoid them.

Overestimating Your Risk Tolerance

Do you see yourself as brave in the investing world? Maybe. But then, a market drop might scare you. Often, attempts to understand how much risk you can take are wrong. This can lead to big losses26.

Your real risk tolerance shows when you face actual losses. The way you react under stress is what matters, not just guesses in tests26.

Risk assessment errors

Ignoring Changes in Personal Circumstances

Things change, and so does your risk level. Your age, what you want financially, and how much time you have affects how much risk you should take27. If you don’t keep your risk level up to date, it can ruin your investments.

It’s important to check your risk tolerance often, to match your plan with your current life27. Remember, don’t set it and forget it!

Remember, your risk tolerance is as dynamic as your life. What worked for you yesterday might not be suitable today.

To dodge these risk appraisal mistakes, use these suggestions:

  • Choose risk quizzes with clear questions, not vague ones26
  • Don’t depend only on what you’ve done before, or on just ‘what ifs’26
  • Think about both how much risk you’re ready for and how much you can afford28
  • Get advice from a person to avoid letting emotions drive your choices in market ups and downs28

Avoiding these pitfalls will help you invest more wisely. Your decisions will better match what you can handle and want to achieve financially.

Risk Tolerance and Market Volatility

Market changes can really affect your investment plans. How you deal with these changes depends a lot on your risk tolerance. Imagine the market suddenly drops. Do you sell in a rush, or do you stay calm? Your decision shows how much risk you can handle.

Let’s talk about some numbers. Over time, the stock market usually grows by 8.5% each year, after adjusting for inflation29. But there’s a twist: between 1926 and 2019, those who heavily invested in stocks averaged a yearly 10.29% profit. Compare this to bonds, which gave only 5.33%30. It seems like stocks are a good deal. But not so fast!

Research also shows that in the stock market, the difference between the best and worst years was a big 97.33%. For bonds, it was 40.75%30. Quite a wild ride! How you react during these ups and downs can really affect how well your investments do. It’s not just about making money; it’s also about feeling secure when the market gets crazy.

Remember, diversifying your portfolio is smart. Investors who are cautious spread their money across stocks, bonds, and real estate to soften any big hits29. But keep in mind, diversification can’t completely protect you.

As you near retirement, you might be less okay with market risks. Since you’ll have less time to recover lost money, reviewing your investment choices is important31. But don’t forget, a part of your money still needs to grow to beat inflation and keep your savings strong31.

Understanding your risk tolerance is key. It helps in making a plan that grows with you. Balancing risk and growth is the goal31. So, when the market is chaotic, think about how you react. It could show a lot about your risk taking nature, more than any test can.

The Impact of Market Volatility on Risk Tolerance

Market ups and downs can really shake up investors. It feels like a wild roller coaster of nerves and decisions. But there is a strategy to stay calm through it all.

Staying Cool When Markets Heat Up

When market trends feel unpredictable, it’s easy to get nervous. Volatility is how much an asset’s price fluctuates. It’s measured as a standard deviation or percentage, showing the potential for high and low returns32. Yet, history tells us that markets usually recover and grow stronger after dips33.

Keeping cool means focusing on your long-term plans. Revisit your investment strategy, considering your risk tolerance and goals. This way, you’re less likely to react emotionally, which can be damaging in the long term33.

Strategies for Weathering Market Storms

Want to become a pro at handling market swings? Here’s what you can do:

  • Diversify your investments across various assets based on your age, return needs, and risk tolerance33.
  • Consider dollar-cost averaging to lower your average cost per unit over time33.
  • Resist herd behavior and capitalize on market fluctuations33.
  • Remove emotions from your investment decisions to stick to your long-term plan33.

By using these strategies, you can be better prepared for market shifts. Remember, having a diversified investment is key, it matches your risk tolerance, and helps keep your portfolio more stable32.

Risk Type Description Impact on Investments
Market Risk Risk of loss due to financial market performance Stocks exhibit day-to-day and year-to-year variability34
Inflation Risk Tendency for prices to increase over time Affects buying power of future dollars34
Interest Rate Risk Impact of changing interest rates Affects savings and loan rates34

Risk Tolerance and Investment Performance: What to Expect

Have you thought about how much risk you’re willing to take on affects your earnings from investments? Get ready for a ride into the realm of portfolio success! Your risk tolerance, more than just a term, truly shapes your investment path.

Imagine being at a buffet dedicated to investing. Those who play it safe fill their plates with bonds and cash. Meanwhile, the more daring ones choose stocks. A safer mix can turn your $100,000 into $110,000, but it might also drop to $95,000. On the other hand, taking big risks could boost it to $149,000, but it might fall to $76,000. It’s like being on a rollercoaster35!

Risk tolerance impact on investment performance

Now, let’s get into the specifics. If safety is your top priority, you might invest about 60-65% in bonds and keep 20-25% in cash. Those looking for balance may choose 40-45% in Canadian stocks, 35-40% in bonds, with a bit of cash. Investors aiming for growth might prefer 30-40% international stocks and 50-55% Canadian stocks36.

And here’s the exciting part: time works wonders in investing. Over three decades, even the most daring portfolios averaged 8.3% at their lowest. That’s a bit like getting a golden ticket in your favorite Wonka bar36! Importantly, your risk tolerance can change, adapting to life changes like getting married, divorced, or making career moves37.

Feeling the urge to reevaluate your risk tolerance? An annual financial review is a wise step. Make sure your investment strategy suits you perfectly, not someone else!

Risk Level Stock Allocation Bond Allocation Cash Allocation
Conservative 10-15% 60-65% 20-25%
Balanced 40-45% 35-40% 5-10%
Growth 80-85% 5-10% 5-10%

Adjusting Your Portfolio Based on Risk Tolerance

Your investment journey keeps evolving. It’s crucial to do regular portfolio rebalancing to match your investments with your risk comfort. We’ll show you the important steps to keep your financial plan stable despite market changes.

Rebalancing Techniques

Think of rebalancing like a tune-up for your investments. You adjust what’s in your portfolio to meet your initial plan. For example, if you wanted 70% stocks and 30% bonds but now have 76% stocks, you’ll need to adjust38. This keeps your risk and goals on track.

It’s a good idea to check your portfolio every six months. And rebalance if it’s off by 5% from your target39. How often you balance your portfolio doesn’t impact your returns much. Whether monthly, quarterly, or yearly, your investments act similar over time39.

When to Reassess Your Risk Tolerance

Big life events can alter your risk comfort. When you get married, face disability, divorce, or want to buy a home, it’s smart to check in39. Re-evaluating risk yearly and tweaking your investments helps you stay aligned40.

In case of disability or serious illness, you might choose safer investment options39. If you’re single with no kids, you could be okay with more investment risk39.

Life Event Potential Investment Adjustment
Marriage to a wealthy partner May increase risk tolerance
Disability Shift to more conservative investments
Divorce without dependents Possibly increase stock allocation
Planning to buy a house Move towards more stable investments like bonds

Knowing your tolerance for potential loss is critical. Assess how you’d react if your investments declined. By focusing on managing risk and not just returns, you can balance or even improve returns without too much stress40.

Risk Tolerance in Different Life Stages

Your willingness to take risks changes as you go through life. This affects how you invest for the future and plan for retirement. When you’re starting out, you might take more risks, aiming for growth since retirement is far off41. It’s a good time to start saving for emergencies while looking into stocks and other growth assets42.

As you move into the mid-career phase, you’ll probably still find high-risk investments appealing, all while managing multiple financial goals41. It’s when diversifying your investment portfolio and seeking advice from tax experts becomes crucial42. Getting closer to retirement, you may want to consider safer investment options41.

Even in retirement, it’s important to have some investments that can still grow to beat inflation41. But, there’s a delicate balance between needing income and making sure your money lasts42. Also, remember that your readiness to take risks depends on more than just how old you are. It’s also affected by your financial situation and your personal approach to life43.

“Subtract your age from 100 to determine the percentage of assets to allocate to stocks in your portfolio.”

Remember, using a simple formula like this can help with judging your risk tolerance throughout your life43. However, keep in mind your own special circumstances and goals when deciding how to invest.

Life Stage Risk Tolerance Investment Focus
Early Career Higher Growth-oriented assets
Mid-Career Moderate to High Balanced portfolio
Pre-Retirement Moderate Conservative shift
Retirement Conservative with Growth Income-generating assets


Well done, you made it through the risk tolerance rollercoaster! Let’s sum it up nicely. Knowing your risk tolerance is key. It’s like picking the right spice for your financial stew. If it’s too mild, you might not get rich flavors. If it’s too hot, you’ll stress out over every market wobble.

Your risk tolerance changes as you do. It moves with your age, goals, and what you learn. The U.S. Securities and Exchange Commission says risk tolerance is about how much you can handle losing for a chance at more gain44. That means you should check how much risk you’re okay with often, as part of your money plan and investment choices.

Let’s spice things up with this: about 90% of new companies don’t make it past five years, underlining how vital risk tolerance is45. In your own money game, risk tolerance decides where you put your money. It’s a big deal for your future wealth. But, remember, spreading your money is smart, but it doesn’t mean you’re safe from losing money or the market going down44. So, stay sharp, keep learning, and good luck with your money moves!


What is risk tolerance?

Risk tolerance is about how much uncertainty an investor can handle. It matters a lot in deciding what investments to make and how much of them.

Why is risk tolerance important in investing?

It’s key to creating a portfolio that stays strong, even when markets are shaky. Knowing your risk tolerance lets you make smart choices about investments.

How are investors classified based on their risk tolerance?

Investors are grouped as aggressive, moderate, or conservative. Aggressive means they’re ready to take big risks for big rewards. Conservative investors want to protect their investment.

What factors shape an investor’s risk tolerance?

Many things affect risk tolerance, like your age, how long you plan to invest, and your financial goals. Personal experiences also play a big role.

What’s the difference between risk tolerance and risk capacity?

Risk tolerance is how much risk you’re willing to take. Risk capacity is how much risk you can afford. It’s based on your financial health and your goals.

How does time horizon influence risk tolerance?

If you have more time before you need your money, you can handle more risk. But as your goals get closer, you might choose safer options.

How do net worth and risk capital affect risk tolerance?

Richer people and those with more money to risk can take more chances. But if you have less money to spare, it’s smarter to be careful where you invest.

How should asset allocation reflect risk tolerance?

Your mix of investments should match how much risk you’re okay with. For more risk, choose more stocks. For less risk, go with more bonds and cash.

How can investors assess their risk tolerance?

There are tests online that can help you figure out how much risk you’re comfortable with. They guide you in building a portfolio that fits your style.

What are common mistakes in assessing risk tolerance?

It’s easy to think you can handle more risk than you actually can, especially when the market is doing well. Also, people often forget to adjust their risk level as they go through life changes.

How does market volatility impact risk tolerance?

Big changes in the market can make you realize you’re not as tough as you thought. Knowing how you react to ups and downs is important for finding the right risk level.

What strategies can help weather market storms?

To survive market ups and downs, think long-term, spread your money across different investments, and avoid acting on your emotions.

How does risk tolerance relate to investment performance expectations?

Those who can handle more risk might see wilder market swings, both up and down. But if you’re more careful, you might not make as much, but you’re less likely to lose.

How can investors adjust their portfolio based on risk tolerance?

It’s good to check your investment mix regularly, making sure it still matches your comfort level with risk. This is especially true when your life changes in big ways.

How does risk tolerance change throughout different life stages?

Younger people usually are more okay with risk. But not everyone should play it safe as they get older. Splitting up your investments can help you stay on track during different times in your life.

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  31. Guide to risk tolerance, asset allocation and maintaining a diversified portfolio – https://www.ameriprise.com/financial-goals-priorities/investing/guide-to-investment-risk-tolerance
  32. Volatility and Risk in Investing: How Are They Related? – https://smartasset.com/investing/how-are-volatility-and-risk-related-in-an-investment
  33. How you can deal with market volatility – https://www.canadalife.com/blog/investing-saving/how-you-can-deal-with-market-volatility.html
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  35. Key Takeaways – https://www.citizensbank.com/learning/determining-risk-tolerance.aspx
  36. How do you think about risk as an investor? – https://www.rbcgam.com/en/ca/learn-plan/investment-basics/how-do-you-think-about-risk-as-an-investor/detail
  37. What is risk tolerance and when is it a good time to reevaluate yours? – https://www.onpointcu.com/blog/what-is-risk-tolerance-and-when-is-it-a-good-time-to-reevaluate-yours/
  38. Rebalancing your portfolio: How to rebalance | Vanguard – https://investor.vanguard.com/investor-resources-education/portfolio-management/rebalancing-your-portfolio
  39. How To Adjust and Renew Your Portfolio – https://www.investopedia.com/investing/how-renew-and-adjust-your-portfolio/
  40. 5 Strategies for Managing Your Changing Risk Tolerance – https://www.kiplinger.com/article/investing/t047-c032-s014-5-ways-to-manage-your-changing-risk-tolerance.html
  41. Know Risk Tolerance at Different Stages of Life – https://www.daily-jeff.com/story/business/2020/05/27/know-risk-tolerance-at-different/1134345007/
  42. Investing by Life Stages: A Complete Guide for Financial Advisors – https://www.linkedin.com/pulse/investing-life-stages-complete-guide-financial-sejxc
  43. Risk tolerance – https://www.aia.com/en/health-wellness/healthy-living/healthy-finances/Risk-tolerance
  44. Risk Tolerance: What Is It and How Do You Measure It? – https://www.merrilledge.com/article/what-is-risk-tolerance
  45. What Is Risk Tolerance, Why Is It Important, and How to Determine It? – https://pecb.com/article/what-is-risk-tolerance-why-is-it-important-and-how-to-determine-it

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