Architecture of Risk.
Tolerance
1. If your portfolio dropped 25% in a market crash, what is your first instinct?
Exit immediately to protect remaining capital.
Monitor closely and wait for recovery to sell.
View it as a major buying opportunity.
Timeline
2. When do you realistically expect to withdraw a major portion of this capital?
Within the next 3 years.
Between 3 to 7 years.
7+ years into the future.
Capacity
3. How would you describe your primary income source?
Unpredictable (Freelance, Seasonal).
Stable but Fixed (Salaried Professional).
Growing/Multiple Streams (Business).
Security
4. Do you have a separate Emergency Fund covering 6 months of expenses?
No safety net established.
Partial fund (2-3 months) established.
Yes, my survival floor is fully funded.
Experience
5. How familiar are you with investment volatility?
Beginner; I prefer certainty.
Moderate; I understand market cycles.
Advanced; I embrace volatility for gains.
Responsibility
6. How many people are financially dependent on your income?
3 or more dependents.
1 to 2 dependents.
None (responsible only for self).