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Understanding risk tolerance and investment suitability
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[QUOTE="Etini, post: 325137, member: 90141"] Risk tolerance is one thing that you have to understand before you get to part with your financial resources in the name of investment. When we hear stories of someone that killed himself or herself because an investment program failed, it is because such a person did not evaluate his or her risk tolerance level before investing. Your risk tolerance level let's you know how much to invest per time. There are people that have a high risk tolerance level. Those ones can dump a million in an investment and walk away, if it perishes, let it perish. Those with low risk tolerance just play safe and only invest what would not affect them in cases of loss. [/QUOTE]
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