Conservative risk portfolio range

A conservative investor has a low-risk tolerance and needs a time horizon that is between one and three years. The time horizon is the length of time before you want your money returned.

This investor:

• is comfortable accepting lower returns for a higher degree of liquidity and/or stability
• primarily seeks to minimise risk and loss of capital

Moderate risk portfolio range

A moderate investor has a medium risk tolerance and a time limit of around five years. The time horizon is the length of time before you want your money returned.

The investor:

• values reducing risks and enhancing returns equally
• is willing to accept modest risks to seek higher long-term returns
• may endure a short-term loss of capital and lower degree of liquidity in exchange for long-term appreciation

Aggressive risk portfolio range

An aggressive investor has a higher risk tolerance level and a longer time horizon, generally longer than seven years. The time horizon is the length of time before you want your money returned.

This investor:

• values maximising returns and is willing to accept substantial risk
• believes maximising long-term returns is more important than protecting capital
• may endure extensive volatility and significant losses
• is not concerned about liquidity