Name: E-mail:  
1) In general, how would your best friend describe you as a risk taker?  
  (Select One)        
a.  A real gambler  
b.  Willing to take risks after completing adequate research
c.  Cautious  
d.  A real risk avoider  
2) You are on a TV game show and can choose one of the following.  Which would you take?  
  (Select One)        
a.  $1,000 in cash  
b.  A 50% chance at winning $5,000
c.  A 25% chance at winning $10,000  
d.  A 5% chance at winning $100,000  
3) You have just finished saving for a "once in a lifetime" vacation.  Three weeks before you plan to leave, you lose your job.  You would:  
  (Select One)    
a.  Cancel the vacation  
b.  Take a much more modest vacation  
c.  Go as scheduled, reasoning that you need the time to prepare for a job search  
d.  Extend your vacation, because this might be your last chance to go first-class  
4) If you unexpectedly received $20,000 to invest, what would you do?  
  (Select One)        
a.  Deposit it in a bank account, money market account, or a insured CD  
b.  Invest it in safe high quality bonds or bond mutual funds  
c.  Invest it in stocks or stock mutual funds  
5) In terms of experience, how comfortable are you investing in stocks or stock mutual funds?  
  (Select One)        
a.  Not at all comfortable  
b.  Somewhat comfortable  
c.  Very comfortable  
6) When you think of the word "Risk" which of the following words comes to mind first?  
  (Select One)        
a.  Loss  
b.  Uncertainty  
c.  Opportunity  
d.  Thrill  
7) Some experts are predicting prices of assets such as gold, jewels, collectibles, and real estate (hard assets) to increase in value; bond prices may fall, however, experts tend to agree that government bonds are relatively safe.  Most of your investment assets are now in high interest government bonds.  What would you do?  
  (Select One)        
a.  Hold the bonds  
b.  Sell the bonds, put half the proceeds into money market accounts, and the other half into hard assets  
c.  Sell the bonds and put the total proceeds into hard assets  
d.  Sell the bonds, put all the money into hard assets, and borrow additional money to buy more  
8) Given the best and worst case returns of the four investment choices below, which would you prefer?  
  (Select One)        
a.  $200 gain best case; $0 gain/loss worst case  
b.  $800 gain best case; $200 loss worst case  
c.  $2,600 gain best case; $800 loss worst case  
d.  $4,800 gain best case; $2,400 loss worst case  
9) In addition to whatever you own, you have been given $1,000.  You are now asked to choose between:  
  (Select One)        
a.  A sure gain of $500  
b.  A 50% chance to gain $1,000 and a 50% chance to gain nothing  
10) In addition to whatever you own, you have been given $2,000.  You are now asked to choose between:  
  (Select One)        
a.  A sure loss of $500  
b.  A 50% chance to lose $1,000 and a 50% chance to lose nothing  
11) Suppose a relative left you an inheritance of $100,000, stipulating in the will that you invest  All the money in ONE of the following choices.  Which one would you select?  
  (Select One)        
a.  A savings account of money market mutual fund  
b.  A mutual fund that owns stocks and bonds  
c.  A portfolio of 15 common stocks  
d.  Commodities like gold, silver, and oil  
12) If you had to invest $20,000, which of the following investment choices would you find most appealing?  
  (Select One)        
a.  60% in low-risk investments 30% in mediun-risk investments 10% in high-risk investments  
b.  30% in low-risk investments 40% in mediun-risk investments 30% in high-risk investments  
c.  10% in low-risk investments 40% in mediun-risk investments 50% in high-risk investments  
13) Your trusted friend and neighbor, an experienced geologist, is putting together a group of investors to fund an exploratory gold mining venture.  The venture could pay back 50 to 100 times the investment if successful.  If the mine is a bust, the entire investment is worthless.  Your friend estimates the chances of success is only 20%.  If you had the money, how much would you invest?  
  (Select One)        
a.  Nothings          
b.  One month's salary  
c.  Three month's salary  
d.  Six month's salary  
  Questionnaire Scale (0-100)   Risk Tolerance Score & Assessment    
  0 - 25 Ultra Conservative Risk Tolerance      
  26 - 39 Conservative Risk Tolerance      
  40 - 48 Moderately Conservative Risk Tolerance        
  49 -61 Moderate Risk Tolerance      
  62 - 69 Moderately Aggressive Risk Tolerance      
  70 - 80 Aggressive Risk Tolerance      
  81 - 90 Aggressive Plus Risk Tolerance      
  91 - 100 Ultra Aggressive Risk Tolerance      
About the Grable & Lytton Risk Assessment Questionaire  
The Grable & Lytton Risk Assesment Questionaire was created in 1999 by Dr. John Grable nad Dr. Ruth Lytton.  It has been in continuous use since then, has been taken by investors hundreds of thousands of times, and has been repeatedly studied for validity.  (Questionaire Source:  Grable,J. E., & Lytton, R. H. (1999).  Fianancial risk tolerance revisited:  The development of a risk assessment instrument.  Financial Services Review, 8, 163-181