Since for the very poor the relevant risk measure is the maximum possible welfare loss, the most appropriate RM instruments are those which minimize that loss. For example through the provision of basic health care or emergency food. Since for individuals around the poverty line the relevant risk measure is to minimize the probability to fall below a set consumption level, the most appropriate RM instruments are likely to be those which allow consumption smoothing through saving-/dis-saving instruments. Since for the higher income groups the relevant risk measure is the standard deviation of income, the most appropriate RM instrument are likely to be portfolio diversification and insurance.