Achieving any goal in life usually involves starting with a plan. Investing is no different. One of the most important things to understand before you embark on an investment plan is the relationship between risk and return.
Some investors focus only on maximising returns without considering the risk taken to achieve those returns. Others are so concerned about losing money that they seek to avoid risk altogether. Yet the single, most important lesson investors can learn is that risk and return cannot be separated.
Whether you have a high or low tolerance to risk, the most important consideration when it comes to investing is that your investment plan needs to be tailored to your individual needs and goals.
To learn more about your investment risk profile talk to us today