The Foundation of Successful Investing: Understanding Risk

Successful investing begins with acknowledging the direct relationship between risk and return. A mismatch between your risk tolerance and the actual risk in your portfolio can lead to frustration, disappointment, and anxiety. While investment risk cannot be eliminated, it can be managed by identifying a risk level that aligns with your comfort and building a portfolio accordingly. Your risk profile reflects both your ability and willingness to take risks— and you may be surprised to discover how it compares to the risk you’re currently taking.”