Is Your Portfolio Too Risky? How to Assess Your Investment Risk Tolerance.
Building a successful investment portfolio requires more than picking the “right” stocks, bonds, or funds. Your risk tolerance—your ability and willingness to handle the ups and downs of the market—plays a crucial role. If your portfolio doesn’t align with your risk tolerance, you might experience stress and make impulsive decisions that undermine your financial goals. So, how can you determine whether your portfolio is too risky and assess your risk tolerance?