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Risk Tolerance Questionnaire

To access the Risk Tolerance Questionnaire PDF click here

Completing the RTQ

  • The Risk Tolerance Questionnaire can be assigned to a client to be completed when they login to the portal, or in a meeting with you.
    • There is a Risk Tolerance Workflow that can be found under Goal Results > Add Goal. 
    • To send a client/prospect the questionnaire, click on their name at the top left. From the dropdown menu, select "Invite to Advizr" or "Configure Access." Under Onboarding, select "Risk Tolerance Questionnaire," or "All Workflows.

Calculating Risk Score

  • Once the questionnaire has been completed, we will calculate a risk score, which is displayed along with the corresponding model portfolio. 
  • For more information on how the Risk Score is calculated, please click here to reference the pdf.

Assigning A Model Portfolio

  • We determine the risk score range for each model by dividing 100 by the number of models you create.
  • For example, if you have 5 models (100/5=20) model 1 will have a range from 1-20, model 2 from 21-40, model 3 from 41-60, etc. 
  • In the above example, if your risk score was a 35, your client would be assigned model 2.

 Adjusting the Risk Score

  • The questionnaire can be redone, or you can make edits in the Profile > Risk Tolerance.
  • In some instances, you may wish to override the risk score and select a model portfolio to use with your projections. In the Profile > Risk Tolerance you will see the list of models. Select the model you would like to use for this client and click "Save Changes."

Model Portfolio Risk

  • The risk range for each portfolio is set in the Model Portfolios tab in your settings. Arrange your models from conservative to aggressive. 
  • Drag and drop models to the order you prefer. The system will automatically update the risk range based on where it is in the order.

***For more information on creating model portfolios click here.


 

Code 1101-OAS-4/24/2020