Your Investor Type

Image from economictimes.indiatimes

Yesterday we tackled the things you need to do prior toinvesting. It was stated that you need to be able to know your risk appetite personality so you can be able to gauge just what kind of investor you are in the first place. Being able to know it can then help you match the kind of investment that would best fit you. Apart from that, you will also be able to achieve your financial goals in accordance to your personality type.

Hence, today, we would be discussing the different investor types. To date, there are four while some would just qualify it into two. As you proceed, gauge what kind of investor are you in accordance to the matching description. We shall call them C, MC, MA and A.


The conservative investors are the ones who don’t want to lose their hard earned money. As much as possible, if they invested 100,000, losing even a peso of it is unforgivable. They are the ones who have short term goals and also retirement ones that seek regular income stream. Their assets in the first place do not provide great growth but a sense of security that it will be maintained. Aside from that, it is also designed to provide income yet preserve the principal balance. The ideal investing strategies for the conservative ones are special deposit accounts, time deposits and savings account. Mainly conservative ones tend to avoid risk at all costs. Their primary investment goal is to preserve their money in the first place. Their aim is to provide stable returns in the long run.

Moderately Conservative

They are investors who are much less willing to accept certain variations in their portfolio. These are individuals who would be needing their money within three to six years. They are also the ones looking for a regular income stream. This kind of portfolio is geared towards individual bonds or bond mutual funds. These kinds of investors also receive income from dividends on an annual or quarterly basis from their investments. Their goal is to seek reasonable levels of capital growth while maintaining their initial input. Security is still their priority over wealth accumulation. Moderate returns with moderate risk are something they can handle.

Moderately Aggressive

These are investors who seek longer term investment. That is why they tend to mix their investments. Their aim is for capital growth. Security of capital is still considered but is secondary to wealth accumulation. They also aim high potential returns yet the risk margin associated with it is still something acceptable on their end. They can be able to contain a certain percentage loss.


These are investors who are more geared towards equity investments like stocks and mutual funds. They are more open to risks and are willing to accept it. They can see large and even short term swings in the market without the need to worry. Their aim is for large growth in the market often long term. Their primary investment is for capital growth and wealth accumulation. They are more into highest potential return with acceptance of the highest risk.

Being able to identify your investor personality will also help you identify the kind of investment that would be ideal for you. Banks tend to give you investor questionnaires so they can be able to determine your risk appetite. It would be pretty hard to get equity investments for example yet you panic when there is a sudden market blow. On another note, getting time deposits when you yearn for more is also not a perfect fit. Hence, as early as now identify your investor personality. 

P.S. To those doing the 52 Week Money Challenge and 52 Week Money Challenge Version 2, it is Week 12 already! Did you deposit the next amount yet?

P.P.S Want to know more about investing, savings, stock market and more, check out my reference here. You can download free ebooks and resources too.