Risk Levels Explained

Need some blurb here....

1: Risk Averse

These programs are suitable for investors who are unwilling to accept any significant risks to their investment, and who accept the prospect of lower returns.

You accept that the value of your money may fall in real terms if inflation exceeds the return that your investment achieves. You accept that the returns from your investments are likely to be low compared to the potential returns from investments with a higher risk rating.

2: Low Risk

These programs are suitable for investors who are likely to accept some risk in return for the potential for higher investment gains over the longer term.

You accept a risk of some capital loss in return for the opportunity to earn from low-risk investments, but do not wish to take as much risk as with a medium-risk strategy. While there can be no guarantees, investments in this category are not likely to fluctuate in value as sharply or as quickly as a portfolio largely made up entirely of equity investments.

3: Medium Risk

These programs are suitable for investors who are likely to accept a greater degree of risk in return for the potential to achieve solid investment gains over the long-term.

You accept that there is an increased risk of capital loss compared to investing in more low-risk investments. Medium-risk investments can fluctuate in value more rapidly and quickly over short periods of time than more low-risk investments, and this level of risk should be acceptable to anyone participating in these programs.

4: Risk Willing

These programs are suitable for investors who understand that investments can go down and up sharply, which is what gives them the potential for increased returns over the long-term.

You accept that this may mean that the value of your investments may fluctuate considerably over short periods of time, and that there is an increased risk of capital loss compared with investing in lower risk programs.

5: High Risk

These programs are suitable for investors who are aiming for high potential returns and are willing to accept high levels of risk to achieve these goals.

You accept that investing in these programs may result in the value of your investments fluctuating significantly over very short periods of time, and you could lose a significant proportion of the funds you have invested.