Anchor Bay Capital, Inc.

INVESTMENT RISK TOLERANCE

Investing involves risk. Different investment products and strategies involve different degrees of risk. The higher the expected return of a product or strategy, the greater the risk that you could lose most of your investment. Investments should be chosen based upon your objectives, timeframe and tolerance for market fluctuations.

Name

First Middle Last

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INVESTMENT TIME HORIZON

1. When do you expect to begin withdrawing money from your investment account?

Less than 1 year
1 to 2 years
3 to 4 years
5 to 7 years
8 to 10 years
11 years or more

2. Once you begin withdrawing money from your investment account, how long do you expect the withdrawals to last?

I plan to take a lump sum distribution
1 to 4 years
5 to 7 years
8 to 10 years
11 years or more

RISK AVERSION

1. Which of these choice best reflects your attitude toward inflation and risk?

My main goal is to avoid loss, even though I may only keep pace with inflation.
My main goal is to earn slightly more than inflation, while taking on a low level of risk.
My main goal is to increase my portfolio's value. Therefore, I am willing to accept short-term losses, but I am not comfortable with extreme performance shifts that may be experienced in the most aggressive investment options.
My main goal is to maximize my portfolio value, and I am willing to take on more extreme levels of risk and performance in my portfolio to do so.

2. The table below presents a potential best case result, probable result and potential worst case result of ﬁve sample portfolios over a one-year period with an initial $10,000 investment. Understanding the potential upsides and downsides of each portfolio, which portfolio would you prefer to hold?

3. Investing involves a trade-off between risk and return. Which statement best describes your investment goals?

Protect the value of my account. In order to minimize the chance for loss, I am willing to accepts the lower long-term returns provided by conservative investments.
Keep risk to a minimum while trying to achieve slightly higher returns than the returns provided by investments that are more conservative.
Focus more on the long-term investment returns. Long-term growth is equally as important as managing portfolio risk.
Maximize long-term investment returns. I am willing to accept large and sometimes dramatic short-term fluctuations in the value of my investments.

4. Historically, markets have experienced downturns, both short-term and prolonged, followed by market recoveries. Suppose you owned a well-diversified portfolio that fell by 20 % (i.e., $1,000 initial investment would now be worth $800) over a short period, consistent with the overall market. Assuming you still have 10 years until you begin withdrawals, how would you react?

I would change to options that are more aggressive
I would not change my portfolio
I would wait at least one year before changing to options that are more conservative
I would immediately change to options that are more conservative

5. The graph below shows the hypothetical best and worst results of ﬁve sample portfolios over a one–year holding period. Note that the portfolio with the highest upside also has the largest downside. Which of these portfolios would you prefer to hold?

6. I am comfortable with investments that may frequently experience large declines in value if there is a potential for higher returns. Does this describe you?

Strongly disagree
Disagree
Agree

Hidden

Risk Aversion Score (For Internal Use)

Hidden

Hidden: SF Gravity Form Household

(For Internal Use)