Open main menu

An investor profile or style defines an individual's preferences in investment decisions, for example:[1]


What determines an investor profileEdit

The style / profile is determined by

Objective traitsEdit

  • Objective personal or social traits such as age, gender, income, wealth, family, tax situation, opportunities.

Subjective attitudesEdit

  • Subjective attitudes, linked to the temper (emotions) and the beliefs (cognition) of the investor.

Balance between risk and returnEdit

An investor's style is shaped by his or her sense of balance between risk and return. Some investors can tolerate greater risk to have greater return. Some investors want less risk and are content with a reasonable return.

  • Generally, the investor's financial return / risk objectives, assuming they are precisely set and fully rational.

Areas of focusEdit

An investor profile is shaped by the area that an investor chooses to focus on; such as:

  • stocks or bonds,
  • technology, commodity, or real estate
  • small-cap or large-cap companies

Investment strategiesEdit

An investor profile is also shaped by the strategy the investor uses:

Valuation methodsEdit

An investor profile is also shaped by the valuation method the investor uses:

See alsoEdit


  1. ^ "Is Greed Or Envy Your Investing Style? Take Our Quiz And Save Yourself".

External linksEdit