What Kind of Investments Should I Make? (Know Your Investor Profile)
Making investments they say is the “woke” way to build wealth, but do you know the kind of investments you should make?
WHAT IS AN INVESTOR’S PROFILE?
An investor’s profile is a representation of the kind of choices an individual is most likely willing to make with their money.
Knowing your investor’s profile guides you on where to put your money and what to expect from the kind of investment you choose. It also saves you unnecessary emotional and financial stress.
WHAT DETERMINES AN INVESTOR’S PROFILE?
Various factors determine the kind of investor you are, but it is very important to note that these profiles are not static, as you continue to grow in your investment journey, you can make wiser investment decisions and shift from one profile to another.
Here are some things to consider:
|GOAL||Why do you want to invest: to grow your money or have more money to spend?|
|DURATION||How long are you willing to give up your money for?|
|PROFIT||How much will you consider a good enough as return on investment (ROI)?|
|LIQUIDITY||Do you want access to your money as quickly as you want it?|
|RISK||Can you afford to lose your money or have it drop in value regardless of its potentials at any time?|
|INDUSTRY CHOICE||Do you care about the industry your money is invested in?|
Answering these questions can help you define your profile and determine the best kind of investment that works for you.
BASIC TYPES OF INVESTORS’ PROFILE
CONSERVATIVE: This investor profile is mostly suited for beginners who most times have zero tolerance for loss/risks. Individuals under this profile are most likely going to stick to short term loans and choose safe options with less risk.
MODERATE: Individuals under this category are willing to take more risk. They have a fair understanding of how investments could work and have a better tolerance to risk. They are willing to put in money for the long term but they are not willing to put so much money still.
AGGRESSIVE: In this type of investment profile, individuals prioritize profitability and are willing to make long term investment, they also have the highest level of risk tolerance. This level of commitment might also be influenced by thorough investment knowledge and an eye in monitoring financial trends.
At Kiakia, we work with your profile as an investor and build through an investment plan that works for you. This is why the KiakiaP2P lending investment platform has an array of options available for selection. We also have agents available that you can talk to 24/7 via email, phone call or chat to assist you to make the best choice for you.