Financial risks

Managing the risks

Virtually every decision in life involves taking some form of risk.  Of course, this tends to mean that whatever you do with your money, there will be some opportunities but there will also be some threats.

An important part of the financial planning cycle is to regularly discuss your individual risk profile.

You may have built up products or investments throughout your lifetime.  Time may have passed and a lot may have changed since these were last reviewed (if at all).

Or, you may have inherited money, having never invested before.

Our assessment of your individual risk profile will usually begin with you completing a short questionnaire.  This is to ascertain how you feel about certain types of risk and how they are relevant to your individual circumstances.

Financial Planning

The rollercoaster of investing

Understanding the risks

Our questionnaire is usually followed by a detailed discussion based on how you feel about some of the possible outcomes, and how much you could afford to lose without your plans going off-track.

Different investments will often perform and move in contrasting ways.  We therefore spend time guiding and educating our clients to help them understand the options available.

You may have more than one goal or objective, so it will often be appropriate to build plans that take account of different risk levels.

The value of investments may go down as well as up and you may get back less than you invest.