Investor Risk Profile Questionnaire
Sr. No. Question to Investors
If the performance of an investment you have recently made is below your expectations or
1 in negative, how would you feel?
a Very upset
b Somewhat upset, but hope that it will improve in the future
c Uneasy but willing to take it in my stride
d Not upset because I know that all investments carry risk
2 What do you normally associate the word 'Risk' with?
a Danger
b Uncertainty
c Opportunity
d Thrill
If you had to choose between being a salaried employee and running your own business,
3 which one would you prefer?
a Being a salaried employee
b Doing a salaried job and may be run a part-time business
c Running a partnership business
d Running my own business
4 When you invest your money in any instrument, what thought comes to your mind first?
a I should not lose my money
b This should not turn out to be a bad investment
c This should turn out to be a good investment
d I know this is a good decision
5 After you have made an investment, how do you usually feel?
a Very worried
b Somewhat worried
c Somewhat satisfied
d Very satisfied
If you had the choice between a fixed salary and a partly variable one, depending on your
6 performance and the profits of your company, which one would you prefer?
a I would prefer a fixed salary, even if it is small
b I would prefer most of my salary to be fixed, with only a small variable part
c I would prefer half my salary to be fixed and the other half to be variable
d I would prefer most of my earnings to be performance-linked
If you had to make an investment decision without consulting or discussing it with
7 anybody, how would you feel?
a Very unsure
b Not very confident
c Some what confident
d Very confident
Experts tell you that investments are subject to risk and you have to be prepared for losses
8 as well as gains. What is the level of loss in your investment that you are willing to accept?
a I would hate to see any kind of loss in my investments
b I will be willing to take up to a 20% loss
c I can perhaps bear a loss of up to 40%
d I am willing to take any kind of loss
If you looked at the portfolio of the investments that you have already made, how would
9 you characterise them?
a Only assured return investments
b Limited investment in risky products
c Divided between risky and safe products
d Mostly risky investments
Interest rates can go up or down. If you had to take a loan and had the choice between a
10 fixed rate and a variable one, which one would you prefer?
a I will always choose a fixed rate
b I will choose a combination of 70% fixed and 30% variable
c I will choose a combination of 30% fixed and 70% variable
d I will choose 100% variable
11 How familiar are you with the share markets and stocks?
a Very little understanding or interest.
b Have enough experience to understand the importance of diversification.
c Know that markets fluctuate & different assets have different risk-return profile
d Understand all investment sectors & know various factors influencing performance.
12 Equity assets can counter the eroding effect of inflation but is risky in short-term.
a I don’t know what inflation is
b Inflation may erode my savings but I have no tolerance for loss.
c I am conscious of the risks inflation presents, but would prefer a middle ground.
d I am comfortable with this trade off to beat inflation.
13 Which of the risk/return scenarios would you be most comfortable with?
a Low risk/return (maximum return 6% pa, minimum return 0% pa)
b Moderate risk/return (maximum return 9% pa, minimum return -5% pa)
c Above average risk/return (maximum return 12% pa, minimum return -10% pa)
d High risk/return (maximum return 15% pa, minimum return -20% pa)
14 Your reaction if your investment dropped from Rs 1,00,000 to Rs 70,000?
a Move the entire investment to cash
b Move some of the investment to cash
c Give it some more time
d Invest more in that investment
15 If you were investing in a shares, which of the following would suit you best?
a I am not interested in shares
b A blue chip portfolio which pays regular dividends
c A mixture of large cap & mid cap shares
d A portfolio of shares whose value could rise or fall dramatically
16 What's Your Age Bracket?
a More than 60
b 45 to 60
c 35 to 45
d Less than 35
17 What's your current Income Level?
a Less than 10 lakhs p.a.
b 6 to 12 lakhs p.a.
c 12 to 24 lakhs p.a.
d More than 24 lakhs p.a.
18 What's your current type of Occupation?
a Retired
b Salaried
c Professional
d Business
19 What's your Investment Experience in Capital Markets / Stocks / Equity Mutual Funds?
a Less than 1 Year
b 1 to 3 Years
c 3 to 7 Years
d More than 7 years
20 What's your typical Investment Time Horizon?
a Less than 1 Year
b 1 to 3 Years
c 3 to 7 Years
d More than 7 years
Your Risk Profile score is
Risk Profile Category & Recommendati
Risk Profile Score Risk Profile Type of Investor Equity Debt
0 200 Low Very Cautious Investor 0-10% 40-80%
201 350 Moderately Low Cautious Investor 10-30% 30-70%
351 500 Moderate Moderate Investor 30-50% 20-50%
501 650 Moderately High Aggressive Investor 50-70% 10-30%
651 800 High Very Aggressive Invest 70-100% 0-10%
© Network FP. Only QPFP Certificants and Candidates are licensed to use this tool.
Answer
a 10
b 20
b c 30
d 40
b
b
d
d
b
b
520
Liquid
40-50%
30-40%
20-30%
10-20%
0-10%
Investor Risk Profile Questionnaire
Sr. No. Question to Investors
If the performance of an investment you have recently made is below your expectations or
1 in negative, how would you feel?
a Very upset
b Somewhat upset, but hope that it will improve in the future
c Uneasy but willing to take it in my stride
d Not upset because I know that all investments carry risk
2 What do you normally associate the word 'Risk' with?
a Danger
b Uncertainty
c Opportunity
d Thrill
If you had to choose between being a salaried employee and running your own business,
3 which one would you prefer?
a Being a salaried employee
b Doing a salaried job and may be run a part-time business
c Running a partnership business
d Running my own business
4 When you invest your money in any instrument, what thought comes to your mind first?
a I should not lose my money
b This should not turn out to be a bad investment
c This should turn out to be a good investment
d I know this is a good decision
5 After you have made an investment, how do you usually feel?
a Very worried
b Somewhat worried
c Somewhat satisfied
d Very satisfied
If you had the choice between a fixed salary and a partly variable one, depending on your
6 performance and the profits of your company, which one would you prefer?
a I would prefer a fixed salary, even if it is small
b I would prefer most of my salary to be fixed, with only a small variable part
c I would prefer half my salary to be fixed and the other half to be variable
d I would prefer most of my earnings to be performance-linked
If you had to make an investment decision without consulting or discussing it with
7 anybody, how would you feel?
a Very unsure
b Not very confident
c Some what confident
d Very confident
Experts tell you that investments are subject to risk and you have to be prepared for losses
8 as well as gains. What is the level of loss in your investment that you are willing to accept?
a I would hate to see any kind of loss in my investments
b I will be willing to take up to a 20% loss
c I can perhaps bear a loss of up to 40%
d I am willing to take any kind of loss
If you looked at the portfolio of the investments that you have already made, how would
9 you characterise them?
a Only assured return investments
b Limited investment in risky products
c Divided between risky and safe products
d Mostly risky investments
Interest rates can go up or down. If you had to take a loan and had the choice between a
10 fixed rate and a variable one, which one would you prefer?
a I will always choose a fixed rate
b I will choose a combination of 70% fixed and 30% variable
c I will choose a combination of 30% fixed and 70% variable
d I will choose 100% variable
11 How familiar are you with the share markets and stocks?
a Very little understanding or interest.
b Have enough experience to understand the importance of diversification.
c Know that markets fluctuate & different assets have different risk-return profile
d Understand all investment sectors & know various factors influencing performance.
12 Equity assets can counter the eroding effect of inflation but is risky in short-term.
a I don’t know what inflation is
b Inflation may erode my savings but I have no tolerance for loss.
c I am conscious of the risks inflation presents, but would prefer a middle ground.
d I am comfortable with this trade off to beat inflation.
13 Which of the risk/return scenarios would you be most comfortable with?
a Low risk/return (maximum return 6% pa, minimum return 0% pa)
b Moderate risk/return (maximum return 9% pa, minimum return -5% pa)
c Above average risk/return (maximum return 12% pa, minimum return -10% pa)
d High risk/return (maximum return 15% pa, minimum return -20% pa)
14 Your reaction if your investment dropped from Rs 1,00,000 to Rs 70,000?
a Move the entire investment to cash
b Move some of the investment to cash
c Give it some more time
d Invest more in that investment
15 If you were investing in a shares, which of the following would suit you best?
a I am not interested in shares
b A blue chip portfolio which pays regular dividends
c A mixture of large cap & mid cap shares
d A portfolio of shares whose value could rise or fall dramatically
16 What's Your Age Bracket?
a More than 60
b 45 to 60
c 35 to 45
d Less than 35
17 What's your current Income Level?
a Less than 10 lakhs p.a.
b 6 to 12 lakhs p.a.
c 12 to 24 lakhs p.a.
d More than 24 lakhs p.a.
18 What's your current type of Occupation?
a Retired
b Salaried
c Professional
d Business
19 What's your Investment Experience in Capital Markets / Stocks / Equity Mutual Funds?
a Less than 1 Year
b 1 to 3 Years
c 3 to 7 Years
d More than 7 years
20 What's your typical Investment Time Horizon?
a Less than 1 Year
b 1 to 3 Years
c 3 to 7 Years
d More than 7 years
Your Risk Profile score is
Risk Profile Category & Recommendati
Risk Profile Score Risk Profile Type of Investor Equity Debt
0 200 Low Very Cautious Investor 0-10% 40-80%
201 350 Moderately Low Cautious Investor 10-30% 30-70%
351 500 Moderate Moderate Investor 30-50% 20-50%
501 650 Moderately High Aggressive Investor 50-70% 10-30%
651 800 High Very Aggressive Invest 70-100% 0-10%
© Network FP. Only QPFP Certificants and Candidates are licensed to use this tool.
Answer
a 10
b 20
c 30
d 40
d
#N/A
Liquid
40-50%
30-40%
20-30%
10-20%
0-10%