How to manage your risk
Important information - The value of investments can fall as well as rise, so you could get back less than you invest, especially over the short term. This information isn't personal advice. If you're unsure what's right for you, seek financial advice.
Risk is a certainty in investing. You can’t get rid of it, but you can manage it.
Risk management is all about finding the sweet spot between risk and reward – one that’s right for your circumstances and financial goals.
To understand the potential of you losing money, versus the potential of you making it, there are three main factors in your control:
- How well you’ve diversified your investments
- Understanding how much of investing is based on human psychology
- Length of time you stay invested
Read on to understand more about why managing risk is essential for any investor.
Risk – what you need to know
We take a closer look at why understanding and managing risk is an investing essential.
Understanding risk – why company size matters
Not all risk is equal – some companies carry more risk than others.
Fortune doesn’t always favour the brave
High-risk investments should only make up a small part of investors’ portfolios. Here’s why.
How much risk is right for me
We take a look at how to build an investment portfolio to match investors’ attitudes to risk and goals.
Two common investing mistakes to avoid
Mismanaging risk can derail investors’ financial goals. Here’s two common mistakes to avoid.