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Measuring Risk Appetite


ericd1

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I'm looking for methods to assess, or measure an investor's risk profile, or their appetite for investment risk-taking.

 

Does anyone know of a good tool (survey, form, etc) to help an investor make appropriate portfolio allocations (cash, fixed income, equities) for the level of risk they are willing to take.

 

Or, are there any 'rules of thumb', like '6 mos income in cash, age in bonds, balance in equities, etc' that could be applied as a general guideline.

 

Thanks in advance...

 

 

 

 

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