7. Risk preference
(Investment in high-risk securities usually provides high return in long-term,
however, price volatility may result in some loss in short term)
(1) Avoid loss at all cost.
(2) Moderate/medium risk is acceptable if the investment provides prospects
of achieving higher return over long term.
(3) High risk is acceptable if the investment provides prospects of achieving
a higher/better return over long term.
(4) Highest risk is acceptable in order to invest where there is potential of
achieving the highest return over long term.