Ready to find out what your Risk Appetite is?

Thanks for having some fun with us, and taking our Risk Appetite Quiz!  The results are as follows:

 

If you scored between 7 and 8 you are a Low Risk Investor:

Traits and Characteristics:

You are a conservative investor and you seek moderate returns on your property investments, with minimal risk

If you already own property, you are likely more concerned about protecting what you already have than increasing the value of your investment.

Typical investments

You will do well owning a bed-and-breakfast business

You could consider investing in student accommodation

Tip:  You could team up with more aggressive investors if you want to diversify your risk.

If you scored between 9 and 10 you are a Low to Medium Risk Investor

Traits and Characteristics:

You don’t like risk and need security.  It is important that the capital in your investment is protected.

You want conservative properties that can provide you with income that you need.

You prefer a slow and steady pace.

You like the potential for some capital growth, but are more concerned with keeping what you have.

Typical investments

The buy-to-let market is probably not for you.

Find low-risk property loan stocks and property unit trusts

Tip:  Alternative team up with a buddy and invest together

If you scored between 11 and 12 you are a Medium to High Risk Investor

Traits and Characteristics:

You are willing to take more risk for potentially greater earnings on your investments.

Although this mix will test your nerves from time to time, you are willing to tolerate ups and downs in the market and you will be able to sit it out.

Typical Investments

You will want properties that give high capital growth or high yields or a mix of the two.

You will buy existing residential properties or sectional title units in more risky areas if the return warrants it

Syndications will be high on your agenda in order to optimise your portfolio.

Buy high-performing property loan stocks and property unit trust

Tip:  Establish good teams to find properties.

 

If you scored between 13 and 14 you are a High Risk Investor

Traits and Characteristics:

Your style is a high level of investment risk in order to maximise potential earnings.

You can tolerate ups and downs in the value of your property investments.

You will gear highly and look for higher returns.

You will want high yields or high capital growth, or a mix of the two.

You are highly entrepreneurial and passionate about what you do.

Typical investments

Buying and Managing inner city buildings.

You could establish a property syndicate which owns a golf estate (capital intensive)

Tip:  Build a team around some more conservative investors to complement your preferences.