Risk Profile or Risk Appetite identifies the level of risk an investor is willing to take in investing. Each investor has a different tolerance for risk and knowing your risk profile allows you to choose investments that you are comfortable with while also mitigating potential risks and threats. The greater the amount of risk an investor is willing to take, the greater the potential return.
Risk Rating is an investment fund’s level of risk. The higher the risk rating, the higher the chances of potential returns.
When you create a GInvest account, you will be asked to answer a Risk Profile Questionnaire (RPQ).
What are the different Risk Profiles?
You can still invest in funds with a higher Risk Rating than your Risk Profile/Appetite. Just fill out the waiver form when you place a buy order.
Here is a prompt that will appear if you invest in funds with a higher Risk Rating than your Risk Profile/Appetite:
Currently, there is no option to change your risk appetite or retake the Risk Profile Questionnaire (RPQ). However, GInvest may prompt you to retake the RPQ at a future date.
Professional fund managers recommend investing: