Behavior Gap Newsletter Behavior Gap Sketches

The Wrong Question

by Carl on January 6, 2009

How much to invest in equities is always framed from a risk perspective: “How much risk can you handle?” Then, out come the risk-tolerance questionnaires. That is entirely the wrong question. What you should be asking is how much return do I need to have a chance at reaching my goals?

Asking the right question leads to the right process!

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