A realistic perspective on risk

How much risk are you as an investor willing to accept? This is one of the most important factors that can affect the way you structure your portfolio and your overall financial plan. Yet it is also one of the most difficult to quantify. There is no universally accepted way of accurately measuring an investor’s risk tolerance. A number of factors come into play, including the investment and economic environment you are dealing with at the moment. For example, consider how you might have answered a question about your level of risk tolerance during the record bull market of the…