A financial adviser may ask you to complete a questionnaire while determining your investment risk profile, but the outcome of that questionnaire should not be the main factor that is driving your investment decisions. At times you may need to take a higher level of risk than your responses to a risk profile questionnaire indicate you are willing to take. A good financial adviser will have a difficult conversation with you about moving beyond your comfort zone. The case of an investor with a leading financial planner, whose tolerance for investment risk took a dive with the returns earned from local financial markets in recent years, illustrates this well. The investor, who is two years away from retirement, had a plan in place with his adviser to ensure that by the time he retired, he would have sufficient savings to provide the income he required, of R40,000 a month. To achieve this, his adviser, Janet Hugo, an independent planner from Sterling Wealth and the 2018 winner of the Fi...

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