Ipq The Safety Seeker

Your Investment Personality

The Safety Seeker

Market volatility makes you anxious about your investments. You tend to be flippant in the way you express emotions and are more likely to interpret ordinary situations as threatening and minor frustrations as difficult. You often second-guess your financial decisions during economic downturns. You prefer predictable outcomes and prioritize protecting your money over chasing high returns but often struggle with long-term strategies due to fear of uncertainties.

Behavioural loss tolerance: Low

Low

Medium

High

Strengths

Highly risk-aware

Avoids reckless decisions (i.e. Chasing short-term rebound during market downturns).

Hightened sensitivity

Early risk detection in the markets, reducing exposure to market crashes.

Weaknesses

Emotional reactivity

Market downturn may trigger anxiety-driven decisions, such as premature divestment.

Lower financial resilience

Struggles with long-term strategies due to stress over short-term fluctuations.

Missed growth potential

Overlooks long-term compounding due to overcaution.

Low self-confidence and self-efficacy

Avoids investing due to fear of uncertainties and fear of regret.

Pessimistic

Amplifies negative market news and overweighs negative outcomes.

Your investment style is Capital preservation

Here are some options often associated with this investment style:

Stable Assets with Guaranteed Capital

Low-risk assets that aim to protect the original capital while generating consistent returns, ideal for conservative investors seeking capital preservation and low volatility.

Money Market Funds

Invest in short-term, low-risk assets to offer better returns than savings accounts, with high liquidity and capital stability.

Faq

Why?

Stable assets with minimal risks help you sleep better at night.

Caution

Watch out for...

Keeping too much cash (Loses to inflation).

Ready to build your portfolio?

1

Build Your Financial Cushion

Build a 6 months emergency fund first.

2

Save with Stability

Put funds for short-term goals in High-Yield Savings Account, Fixed Deposit or Certificate of Deposit.

3

Grow with Low Risk

Contribute to your long-term portfolio using Insurance Endowment Plan or Money Market Funds.

The investor’s bookshelf

These are some independent resources for further learnings based on your personality.

The Psychology Of Money Morgan Housel

The Psychology of Money - Morgan Housel

Explores how emotions drive financial decisions, with strategies to avoid anxiety-driven mistakes.

Thinking, Fast And Slow Daniel Kahneman

Thinking, Fast and Slow - Daniel Kahneman

Explains cognitive biases like loss aversion and pessimism, helping anxious investors reframe risk.

Your Money And Your Brain Jason Zweig

Your Money and Your Brain - Jason Zweig

Illuminates the emotional battles we face when managing our money using neuroscience.