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Risk Profile - Big Sky Financial Solutions

Risk Profile



Your risk profile indicates the level of volatility you would be comfortable with. It helps the Financial Planner identify the appropriate mix of various asset classes in your investment portfolio.

Although diversifying into all asset classes is recommended for most clients, your risk profile will help assess the proportion of each asset class in the total investment. This is due to the fact that all asset classes have varying degrees of volatility and return associated with them.

Your risk profile is assessed through a series of questions and situations presented to you. It is important that you think and respond to these questions correctly.

Along with the investment time frame and your objectives, the risk profile becomes one of the important factors that will greatly influence the returns you can expect from your investment.

Time and circumstances can also change your risk profile.