3. Talk through any discrepancies in their risk profile assessment. 4. Explain how their current portfolio lines up with their risk comfort. 5. Keep investors focused on what they can control.

But with an unreliable risk profiler and portfolio risk analytics, you might be moving your client into an unsuitable portfolio. The output of traditional risk profiles typically squeeze investors ...

Assume a (very successful) portfolio returned 15% with a 10% standard deviation. The risk-free rate of return is 4%. Knowing these numbers allows an investor to calculate the portfolio's Sharpe ...

Reviewed by Chip Stapleton Fact checked by Suzanne Kvilhaug Value-at-risk (VaR) is a widely used measure of downside ...

This calculation highlights the steadiness of ... It provides insights into a portfolio's risk-adjusted performance. A higher K-ratio signals more consistent and reliable returns, making it ...

Learn how to square your own investments with your time horizon and risk tolerance ... The cost basis is used to calculate an asset or portfolio's returns and, for tax purposes, capital gains.

With the stock market soaring to new all-time highs on what seems like a daily basis, managing your portfolio's risk might not be the first thing on your mind. If you wait for a downturn ...

Will Kenton is an expert on the economy and investing laws and regulations. He previously held senior editorial roles at Investopedia and Kapitall Wire and holds a MA in Economics from The New ...

Risk tolerance is an investor's ability to handle portfolio volatility. Younger individuals can generally accept more investment risk due to longer time horizons. Key factors influencing risk ...

Include fixed-income assets like bonds to lower volatility and reduce risk in your portfolio. Add real estate through REITs to potentially increase returns and further reduce portfolio volatility.

Portfolio risk tools that offer unparalleled forecast accuracy and quality assurance for all types of portfolio analysis, universes and investment styles. Uncover new investment opportunities and ...