Chapter 4

Risk and attitudes towards it

Introduction In this chapter, you will: •

understand attitudes to risk and how these impact on planning for aspirations;



understand that there are different attitudes to risk;



recognise how attitudes to risk affect personal financial planning;



understand that the choice between risks is a personal one, linked to values and attitudes, and for which responsibility must be taken.

Learning outcomes In this chapter, you will: •

learn that your attitude to risk is important when seeking to reach aspirations and that it will change as your own circumstances change;



recognise that you will have a personal risk–reward spectrum, depending on your circumstances;



understand that financial products have a risk–reward spectrum;



learn that you need to establish priorities for what you want and then match your own attitude to risk to the appropriate product or mix of products.

4.1 Introduction In the last chapter, we defined risk. We may call it a willingness to take a particular action or direction, or, in financial terms, to buy a particular product or to buy protection against a particular eventuality. We also saw that people’s attitude to risk changes according to a number of factors: • how likely the risk is to occur; • the severity of the effect; • our own personal circumstances and views.

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Chapter 4 Risk and attitudes towards it

4.2 Risk and aspirations The attitude that you, personally, take to risk will affect how you set your aspirations at each stage of the life cycle. If you are not happy with taking a risk, then you will set your aspirations correspondingly lower, but perhaps have a greater chance of attaining the targets that you have set. Many entrepreneurs do not make a success of their first venture, but are willing to keep trying – and taking risks – until they become a success. In fact, this quality of taking high risks in order to benefit from high rewards is a particular feature of the successful entrepreneur. An entrepreneur is someone who has the quality of ‘enterprise’ – that is, who is a risk taker in business.

4.2.1

The benefits of taking a risk

Risk, in itself, isn’t always bad; in fact, it’s essential that people take some risks. • If someone hadn’t tasted an apple many generations back and found that it wasn’t poisonous, you probably wouldn’t be eating them today – and the same would apply to many other things. • If people didn’t experiment with new methods of doing things, technical advances wouldn’t be made and you wouldn’t have all of the products that you have today. Investing money often involves an element of risk. Some people are happy to take this risk in the hope that their investment will yield them rewards – but it is important to remember that if you take a risk and lose, you may suffer, and so some risks are not worth taking at all. You need to balance the potential consequences of failure and loss against the potential benefits of success.

Activity 4.1 Think about some of the most risky ‘firsts’ in history: for example, the first to ride a bike, fly an aeroplane, try a parachute, eat a banana, fly into space. Which of the risks that you list would you be prepared to take yourself? Set out the steps that you could take to manage the risk.

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4.2.2

Positive and negative risk

Some risks are worth taking. In fact, taking certain risks is the only way in which you can reap certain rewards. Certain kinds of investment involve risk. The rule, as we discussed in the last chapter, is that the higher the potential reward, the higher the probable risk. For example: • if you invest in some of the safest investments there are – for example, National Savings and Investment (NS&I) products – you would feel very safe from the risk of losing your money, but you could only expect modest investment returns in compensation; • if you invest in shares in companies that are expected to grow well, you run the risk that the companies will not, in fact, do so well. The value of your investments might go down instead of up; in the worst-case scenario, they may even be worth nothing. Taking a risk can be positive as well as negative. Although taking a risk means that you may lose something, it also may give you the opportunity to make bigger gains than you could if you were to take no risks. And there may be other benefits – for example, you may learn useful lessons from things that go wrong, so it also gives you the opportunity to learn from experience – whether the risk pays off or not.

Activity 4.2 Which factors might make you have a high, or low, risk tolerance? Tick the box that you think is most appropriate. High risk Low risk tolerance tolerance Being young Being old Having lots of money in the bank Having very little money Having no dependants Having a family relying on you financially Being fit and healthy Being in poor health Uncertain times A stable economy, with lots of jobs around Never having had a bad experience in the past Having had a bad experience in the past Being a confident person Being more cautious and prudent

Activity 4.3 Look at the stages in the lifecycle that we laid out in Chapter 1 (see Table 1.1) and suggest, linked to at least three of the stages, three reasons why risk tolerance might change.

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Chapter 4 Risk and attitudes towards it

4.3 Attitudes to risk What do you personally understand by the term ‘risk’? If you look up ‘risk’ in a dictionary, you’ll probably find a definition along the lines of ‘the possibility of suffering loss’, or ‘uncertainty of outcome in a given scenario’. In simple terms, risk is the chance of things going wrong. The sorts of things that people think of as risky include risks to persons, things and finances. For example: • walking on a dark street at night; • driving too fast in a built-up area; • participating in the trial of a new drug treatment; • smoking cigarettes; • drinking alcohol. Some risks are taken because they are enjoyable and because they have been managed. For example, have you ever: • been bungee jumping? • been skydiving? • been bike racing? • taken part in a show or performance? • tried a new food? • tried speaking a foreign language? There are inherent – that is, built-in – risks to all of these things (some of which are more severe than others), but we manage the risks as best we can and then take a decision about whether or not to participate.

4.3.1

Types of risk

As you can see from the above, there are many different kinds of risk, so it is useful to sort them into different types, as follows. • Risks to yourself – Accident or injury – Embarrassment or mental anguish • Risks to your income – Failure to find a job – If you rely on your savings for an income, interest rate cuts • Risks to your assets – Breakage or damage – Loss of your net wealth through bad investment decisions • Risks from your actions – Liability to someone because you have injured them, for example, through a driving accident – The consequences of bad decisions, for example, gambling on a horse and losing. 60

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Activity 4.4 List as many different risks as you can and decide into which of the above categories you think they fit.

4.3.2

Spectrum of risk

Different people have different attitudes to risk: • some people have a very cautious attitude – that is, they are highly risk-averse; • others are very risk-tolerant – that is, they do not mind risk, or even actively seek it out; • some people are between these two extremes. Those who are risk-averse have a very cautious attitude to risk. Those who are risk-tolerant do not mind risk, or even actively seek it out.

This leads to what we call a ‘spectrum of risk’, which runs from: • very cautious people, who are risk-averse; through • moderately cautious people, who are risk-cautious; to • not-at-all cautious people, who are risk-tolerant.

Activity 4.5 Where on the spectrum would you put yourself, right now? Does this apply to all of the different types of risk, or are you happy to accept some kinds of risk, but not others?

4.4 Attitudes to risk and personal financial planning Your own attitude to risk will affect your personal financial planning. You may want very low-risk products – and be happy to accept their low return – or you may be more inclined to take a gamble on high-risk products, in the hope that you will reap a high reward.

4.4.1

The product risk spectrum

Not only do you carry your own idea of risk with you, but each financial product also carries its own set of risks.

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Chapter 4 Risk and attitudes towards it

Low-risk products include: • bank accounts; • premium bonds and other government bonds. Higher-risk products include: • stocks and shares, and unit trusts; • high yield bonds.

4.4.1.1

Bank accounts

The risks attached to bank current and deposit accounts (and to those of building societies operating as banks) are: • that the bank will not be able to repay its depositors – that is, that it will become insolvent. This risk is very low, because it is an event that is unlikely to happen, but it is a faint possibility. Banks are authorised and supervised by the Financial Services Authority (FSA), which keeps an eye on their solvency – that is, on their ability to repay their depositors. The Financial Services Compensation Scheme (FSCS) also provides a measure of protection; • that interest rates may fall – if you have your money in a savings account with a variable rate and interest rates fall, you may find that you are getting less interest than you had hoped for (of course, interest rates may also rise).

4.4.1.2 Premium and other government bonds Premium bonds and other government bonds are a very safe investment into which to put your money. The only risks are that: • the government of the country will fail to honour the bonds (which is extremely unlikely); • you might not win a prize on them some day. Even with premium bonds, however, people manage the risk–reward balance. You can hold up to £30,000 in premium bonds and frequent wins on such an amount could be worth more than savings interest. Are you willing to take the risk?

No bank can survive what is called a ‘run on the bank’ – that is, when everyone decides to take their money out at the same time. This is because the banks could not make money out of your money if they had not lent it out to other people and businesses. They therefore keep very little, in percentage terms, in cash deposits. The start of the recent banking crisis can be traced back to Northern Rock in 2008. Please see Appendix ‘Banking Crisis Factsheet’.

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4.4.1.3 Stocks and shares, and unit trusts Stocks and shares are subject to market forces. Unit trusts are also affected, but less so, because the investment is spread over several different companies or sectors, thus spreading the risk. The term market forces refers to the operation of supply and demand.

The risks are: • that the price of the shares may fall – share prices go up and down according to changes in supply and demand. If people think that a particular company is doing badly, they will probably want to sell any shares they have in it, pushing the price down; if they think a company is doing well, then more people will demand shares, pushing prices up. In a selling market, supply increases and demand decreases; in a buying market, the opposite is true. Share prices can also fall in value if people are worried about the market or economy as a whole; • that the dividend may not be maintained – companies pay out a proportion of their profits as dividends and poor profits may mean poor, or no, dividends.

Activity 4.6 What are the risks of an investment in shares?

4.4.1.4

High-yield bonds

Almost by definition, for a bond to promise a high yield – that is, a good rate of return – it must also be a high-risk investment. In buying such bonds, the investor accepts that the risk of them not performing or providing a return are extremely high, but that, if they do perform, the rewards will be good.

Activity 4.7 Think about your own attitude to risk, using a scale of 1 (very risk-averse) to 5 (very risk-tolerant). Suggest risks that you would place at either end of the scale.

4.4.2

Financial products and your personal risk profile

Your risk profile should be a big factor in deciding which product you choose to do a particular job. For example, if the particular need that you want to satisfy is a need for an investment product and the kind of return that you want from that investment is capital growth (not income), then you need to choose from the range of investments that can give you capital.

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Chapter 4 Risk and attitudes towards it

Your risk profile refers to your own personal attitude to risk.

These might include the following: • National Savings and Investments (NS&I) products – for example, National Savings capital bonds – which are very low risk and offer known, although low, returns. If we were to place our investments on a scale of 1 (very low risk) to 5 (very high risk), these would be a 1; • Units in a unit trust that describes its aim as investing for capital growth – its advertising literature says that it will spread its investments across a large number of solid UK companies in a range of different businesses. We could regard this as medium to higher risk: 3.5 or 4 on our risk scale; • a holding of shares in only one, relatively new, company that has no track record, but which we have been told has some great ideas and could be destined for big things. This type of investment would be a 5 on our risk scale: high risk; high possible rewards. We could make very big gains – or the company might fail to establish a track record and the shares might be worth almost nothing.

Perception of risk is all-important. Statistics tell us that very risky activities include driving a car and crossing the road. They also tell us that one of the safest modes of transport is air travel. So why is it that people are more frightened of air travel than of driving? Think about the severity of the result if something should go wrong and you will see how this element changes perceptions.

4.4.3

Matching risk profiles – personal to product

Someone’s attitudes to, and tolerance for, different sorts of risk will change as they go through their life cycle. It is usual for people’s attitude to financial risk to become increasingly cautious as they get older. They cannot afford to lose the money that they have saved through their lifetime and that they may shortly need to use to supplement their pensions, and time and experience tend to make many people more wary about things in general. At each stage, you need to match your personal attitude to risk to the appropriate product on the product spectrum of risk. This will usually mean buying multiple products to cover various risks and possibilities. The following tables list products against their likely risk factors.

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Table 4.1 Very low-risk products Financial need

Product

Provider(s)

Transactional accounts for Current or cheque account receiving benefits, wages Regular savings Secure fixed-term saving

Banks Building societies

Savings – instant access Banks or fixed term, with variable Building societies or fixed rates of interest NS&I accounts

Fixed income for a defined Guaranteed period, or known capital growth/income bonds value at the end of the term Fixed income by way of Gilt-edged securities interest, a certain capital held to maturity return if held to maturity

Insurance companies Building societies Various NS&I products if The government

Term insurance policies Insurance companies Repayment of loans if you (these don’t have any investment element to die them) Protection for dependants

Saving for a specific Endowment or unit-linked Insurance companies purpose, such as school or life policies linked to cash university tuition fees funds

Table 4.2 Low-risk products Financial need

Product

Protection (because it Whole-of-life, pays a lump sum on policy death); sometimes used for inheritance planning

Provider(s) with-profits Insurance companies

Low-risk investment or Unit-linked endowment if Insurance companies savings with a payout on linked to a fund investing death in low-risk bonds An investment that is safe, Gilt-edged securities but on which the price can go up or down prior to maturity; can, however, be used to lock in fixed interest

The government (can be bought through stockbrokers or the Post Office)

Fixed regular income, Company bonds (loan Issued by companies good probability of your stocks) issued by stable Bought through capital back if held to companies stockbrokers maturity

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Chapter 4 Risk and attitudes towards it

Tax-efficient retirement Pension policies (with- Insurance companies planning through savings profits). These provide the holder with a ‘pension pot’ if they are kept going; while they are building up, they should also grow more steadily and smoothly than some alternatives Income or capital growth NS&I products, eg The government (can be depending on product premium bonds, income bought through bonds stockbrokers or directly, using forms available at the Post Office) Tax-efficient retirement Pension policies (linked to Insurance companies planning through savings money market) Banks Building societies Funds or similar Unit trust providers

Table 4.3 Medium-risk products Financial need

Product

Provider(s)

Product that invests in a Managed funds (open- Fund managers investment spread of shares or bonds ended companies, or OEICs; unit (or a mix) Used to invest for medium trusts) to long-term growth

capital

insurance Insurance companies As above (medium to long- Unit-linked bonds (managed) term capital growth) Possible need for taxefficient income or inheritance tax planning Products that allow you to Investment trusts invest in a spread of shares or other investments, for long-term capital growth High level of income

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Investment trust manager

Company bonds (loan Issued by companies stocks) issued by Bought through companies that are stockbrokers slightly less stable than the government

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Tax-efficient planning

retirement Pension policies (managed Insurance companies funds) Fund managers

long-term Endowment/whole of life Insurance companies policies, unit-linked to Death benefit if the life managed funds assured dies (protection) Medium to capital growth

Table 4.4 High-risk products Financial need

Product

Long-term investment for Shares in companies capital growth and dividend income: can tolerate the possibility of (at worst) total loss; the smaller the spread of shares, the higher the degree of risk

Provider(s) Bought stockbrokers

through

Investment for long-term Unit trusts and OEICs Fund capital growth and/or invested in specific equity companies income markets

management

As above, but with need As above, but held Fund for tax-efficiency through tax-favoured companies vehicles (investment savings accounts, or ISAs)

management

Investment for long-term Investment trusts invested Bought in capital growth and/or in specific equity markets, stockbrokers income including those held in ISAs High levels willing to income discontinued may be lost Tax-efficient planning

of income, accept that may be and capital

Investing in bonds issued Bought by companies that have a stockbrokers reasonable chance of not being able to keep up repayments

through

through

retirement Pension policies linked to Insurance companies specialist funds Fund management companies

policies, Insurance companies Investment for long-term Endowment whole-of-life, with the acceptance of including higher risk, in the hope of linked to specialist funds potentially higher gains Death benefits assured dies

if

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Chapter 4 Risk and attitudes towards it

Table 4.5 Very high-risk products Financial need

Product

Provider(s)

Taking risky bets on Derivatives – that is, Bought things such as the stock specialist financial stockbrokers market instruments the price of which can move very dramatically Investing a small part of your wealth, accepting risk of near total loss in the hope of very high gains

Specialist unit Fund trusts/OEICs, eg emerging companies markets or specific countries

through

management

Can be held in ISAs Investing a small part of your wealth, accepting risk of near total loss in the hope of very high gains

Specialist investment Bought trusts (eg individual stockbrokers market sectors such as IT, or single foreign markets); including those held in high-risk equity ISAs

through

Very high levels of income and possibly capital gains – accepting the possibility that income payments may not be kept up and that the entire capital may be lost

Bonds issued by Bought companies in relation to stockbrokers which there is a strong likelihood that the company may not be able to keep up repayments (junk bonds)

through

4.4.3.1 Establishing priorities You don’t use only a single product to meet all of your financial needs. Financial plans aim to satisfy a number of different needs, some of which compete with each other. This is why it is important to place your wants into a list of priorities. You then need to find a way in which to combine different products to match a financial plan to your individual overall attitude to risk. A person’s particular risk profile doesn’t only affect which product from a range they choose – that is, which of three different investments they select; it also affects how they organise their financial needs into priorities – that is, whether they need those investments at all at the moment, or whether something else should be the main focus. A good rule of thumb and one to which most advisers will stick is as follows.

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1.

Ensure that you can currently live within your means: check that your income covers your immediate living expenses – and that it leaves a little over to start putting a financial plan into action.

2.

Assuming that you do have some surplus income, the next priority should be to make sure that you have enough protection – that is, insurance – in case things go wrong. Of course, people with no dependants may not need much protection, but most families do need some.

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3.

You should make sure that you have some emergency cash put by for immediate living expenses, in case your income dries up. This should come before any longterm planning such as pensions, into which you might have to stop paying if you have no extra disposable income.

4.

Next you should consider savings, investment and retirement planning needs.

Case study 4.1

William

William is 23 years old and his wife is expecting a baby. They have a mortgage on their flat. He’s in his first job and his wife isn’t working, because the baby is due so soon. William has decided that, at the moment, his main priorities are as follows. 1. To get some life insurance so that, if he dies, his wife and the baby will have some money to pay off the mortgage and so keep their home. He needs an insurance policy. 2. To start saving, so that there’s a pot of money for emergencies and things such as new baby clothes. He needs a savings account. 3. To begin putting money by for when the baby grows up and needs more expensive things. He needs to think about suitable, fairly safe investment products. William’s wish list includes some retirement provision for himself and his wife, but the money simply won’t stretch that far at the moment. He has had to think quite hard about whether he should focus on the investment product, or on a pension product for himself and his wife. He has sensibly not included higher-risk investments in his list of priorities (even though they could pay out a big return) until a stage in his life at which he can afford to be less cautious. The exact mix that William comes up with – that is, how much he puts into each of his top three priority financial products – will also depend on a number of factors. There is rarely a single right answer: each person’s financial needs – both practical and psychological – will be different.

Activity 4.8

Alex is a single mother aged 38, who was widowed two years ago. Her children are aged 18 and 19, and both live away at university. Her husband’s life was insured for enough to pay off the mortgage, so she owns her house. She has a part-time job and some money in the bank – enough to pay a few months’ bills. She doesn’t have any pension arrangements, because her husband always looked after that sort of thing and he hadn’t got round to arranging a pension before he died. What do you think Alex’s priorities should be?

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4.5 Risk, values and attitudes We can identify specific risks for each of the various products that we have encountered. In addition to the actual risks, investors’ perceptions of risk are affected by a number of factors. For example, some people are so intimidated by the tales that they have heard of unscrupulous financial advisers and risky investment or insurance products, that they won’t use them. How you choose financial products, and which needs you see as being the most important priorities, depends on your own attitude to risk and willingness to take responsibility. You will have, as we have said, attitudes shaped by your own values. You will also be influenced by both internal and external factors.

4.5.1

Internal influences

Sometimes, the things that influence our perception of a situation come from internal influences: for example, our own experiences. These will also be affected by our own values and attitudes. Our values, for example, may tell us that a risk to people is more important than a risk to property and this could affect the priorities we put on protection products. In particular, many people perceive the risk of something about which they are particularly anxious as being greater than that of something about which they don’t think as much.

4.5.1.1

Proximity

Personal proximity to an event can also encourage someone to believe that the likelihood of a recurrence is a bigger risk than they might otherwise believe. For example, if one or both of your parents has been made redundant, you may have a more cautious approach to employment than someone whose parents have worked for the same company for all of their lives. Likewise, if someone in your family has lost money by investing in shares, you may be wary of investing in shares yourself. (The converse is also possible – that is, an experience of successful share investment may encourage you to invest in shares again.) Proximity refers to how close you are to something.

4.5.1.2 Perspective Factors in our personalities can distort our perceptions. For example, people – especially those who like to feel in control of their own lives – tend to be more concerned about the kinds of risks that are imposed on them than about those risks that they take voluntarily. They might, for example, therefore be more worried about the risks from air pollution or a local mobile phone mast than they are about the risks from smoking. Because people can suffer from a distorted perspective, some risks seem even greater to us than they would were we able to see them clearly and in context with other comparable risks.

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4.5.1.3 Likelihood vs severity The relationship between likelihood and severity matters because people will make financial buying decisions based on their fears, which are, in turn, driven by the risks that they perceive. For example, they’ll buy insurance to protect themselves against those risks that they think matter most – and not against those that they don’t take as seriously. It’s a fact that more people will have to take time off work through illness than will actually die during their working lives, but while lots of breadwinners have some form of life assurance (to protect their dependants when they die and their income is lost to the family), fewer of them have insurance to protect their income in the times during which they can’t earn through illness or unemployment. It is important, therefore, to balance the likelihood of a risk happening – that is, its frequency – against its adverse effects – that is, its severity (see Chapter 3).

4.5.2

External influences

External influences – that is, those that are beyond our control – can also influence our perception of risk. External influences include economic and social factors, and changes in instruments and indicators (such as interest rates and inflation). The media and the behaviour of those on whom we model our own behaviour can also unduly influence us. • The media can portray events in different ways. For example, two different newspapers can report the same event from completely different standpoints and, depending on which version we read, our perception of the particular risk might well be affected. The media will also distort the consequences of risk to suit their own audiences. In addition, the fact that an event is even reported in the press or on the television can distort our understanding of its frequency. Statistics have shown that if an event – such as an outbreak of a particular illness – is reported once or twice in the press, the public may form the view that it’s much more widespread than is actually the case. Think about why people think air travel is more dangerous than car travel: it is because, when air accidents do happen, they tend to be spectacular, disastrous and often involve high loss of life. They are therefore reported and investigated in great detail. Car accidents, and death and injury on the road, is so commonplace that it is rarely reported in any depth at all. • If the people to whom we look up seem relaxed about certain risks, we may think that this is the right way to behave – even if their circumstances are different from our own.

4.5.3

Responsibility

The one thing that we should all recognise is that our attitude to risk – whether in relation to our life choices or in aspects of our financial planning – is our own responsibility. Once we are old enough to be capable of making a decision, we must accept the responsibility for that decision. If you decide to do a wheelie on your mate’s bike and break your leg, this is a consequence of your decision to take the risk. Equally, if you damage the bike, this is a consequence of your decision and you should pay for the damage. If your friend allowed you to do the wheelie, then they should also take some responsibility. In this case, they may have already managed part of the risk by insuring © ifs School of Finance 2009

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Chapter 4 Risk and attitudes towards it

the bike, but insurers would not look kindly on what they saw as a reckless decision and might decide not to pay out. It is important, therefore, that you are willing to take responsibility for your actions (or inactions, if you decide not to do something, or not to buy a product) before you take the decision.

4.6

Conclusion

All of the above factors and many others at which we have looked combine to make up your overall tolerance for risk. The result might be that your actual risk profile falls somewhere between the two extremes of risk tolerance and risk aversion. You are unlikely to be tolerant of every risk, nor are you likely to be averse to every risk; your ability to take a risk, however, will always be governed by your own personality and perceptions.

Chapter summary In this chapter, you have: • • •



learned that your own attitude to risk will have an important impact on your planning for aspirations; understood that your attitude will change with both personal circumstances and due to external factors; realised that you must learn to assess risk before taking decisions – especially financial decisions – and make sure that the product you buy suits your own attitude to risk; understood that this will mean ordering aspirations into a list of priorities.

Key terms: entrepreneur; risk-averse; risk-tolerant; market forces; risk profile; proximity

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Suggested answers to activities Activity 4.1 There are some pretty scary things that people have done: imagine being the first to sail all the way west when everyone believed that the world was flat. You may have thought of various ways of managing risk, but one of the most obvious, which you should have included, would be to seek out all the available information and take advice.

Activity 4.2 These factors are likely to make people have a high or low risk tolerance in the following ways. High risk Low risk tolerance tolerance Being young

9

Being old Having lots of money in the bank

9 9

Having very little money Having no dependants

9 9

Having a family relying on you financially Being fit and healthy

9 9

Being in poor health

9

Uncertain times

9

A stable economy, with lots of jobs around

9

Never having had a bad experience in the past

9

Having had a bad experience Being a confident person Being more cautious or prudent

9 9 9

Activity 4.3 You might have children, who are dependent on you; you may have to look after aging parents; you may have a lot of financial commitments – and many more.

Activity 4.4 The answer to this question will vary from person to person.

Activity 4.5 The answer to this question will vary from person to person.

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Activity 4.6 Shares may either fail to provide a dividend, if a business doesn’t make enough profit, or fail to make a capital gain, but be reduced in value.

Activity 4.7 The answer to this question will vary from person to person.

Activity 4.8 Alex should probably make her short-term savings (an emergency fund) and her pension her priorities. If she doesn’t have life cover, she may want to buy some to protect her children from the financial consequences of her death.

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Insurance companies. Banks. Building societies. Funds or similar. Unit trust providers. Table 4.3 Medium-risk products. Financial need. Product. Provider(s). Product that invests in a spread of shares or bonds. (or a mix). Used to invest for medium to long-term capital growth. Managed funds (open- ended investment.

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Attitudes and Evaluations - Martel Press
2001; Olson & Parayitam, 2007; Peterson & Behfar, 2003;. Simons & Peterson, 2000) or else the .... 10:1-6, James 5:16,. Prov. 9:8,9). There are many positive consequences of accountability that have been demonstrated empirically. (Lerner & Tetlock, 1

Attitudes and Evaluations - Martel Press
David R. Dunaetz. Azusa Pacific University. Abstract. “Co-operation and the Promotion of Unity” was one the major themes addressed at Edinburgh 1910. ... of Unity.” Five Group Processes that Influence Cooperation and. Unity. Since the end of th

Islamization of Attitudes and Practices
ultimate salvation of man. ... man's attaining knowledge from life and the universe is contingent upon three ... and nature as manifested in the natural universe.

The Effect of Saving on Risk Attitudes and Intertemporal ...
Innovation Initiative and the Weatherhead School of Management, and Sydnor thanks the. Wisconsin School of Business for generous research support. ... Sprenger (2012).2 The CTB task asks subjects to solve a standard two-period ..... Our population is

Matchings with Externalities and Attitudes
Optimism: Deviators assume the best case reaction from the rest of ... matches good for the deviators and removal of all bad .... Externalities in social networks.

Residents' Attitudes toward Existing and Future Tourism ...
Residents' Attitudes toward Existing and Future Tourism Development in Rural Communities.pdf. Residents' Attitudes toward Existing and Future Tourism ...

Matchings with Externalities and Attitudes
the search for compact representations of externalities. One of the central questions in matching games is stabil- ity [14], which informally means that no group .... Neutrality, optimism and pessimism are heuristics used by agents in blocking coalit