What is my Lender Risk Tolerance

Your Lender Risk Tolerance is determined based on the suitability assessment performed when you register for your Lending Loop account. It's designed to help guide your investing through Lending Loop.

Please note, the following definitions are generalizations and may not represent all or exactly the individuals who are classified into a given Lender Risk Tolerance profile.

Very Conservative

Typically, a very conservative investor is:

Cautious or a first-time investor
Primarily focused on portfolio stability and preservation of capital
Will need the money from their investments in five years or less
Has a medium investment time horizon and seeks a growth potential that can compete with inflation concerns
Will likely target investments in lower loan grades A+ to B, while diversifying small amounts of principal across many businesses
Should a very conservative investor have questions regarding their investments, it is highly recommended that they contact their dealing representative.

Conservative

Typically, a conservative investor is:

Willing and able to accept some risk or volatility
Primarily focused on pursuing a modest level of portfolio appreciation with minimal principal loss and volatility
Someone with a portfolio that primarily includes investments in cash and bonds with some allocation in equities
Will likely target investments in lower loan grades A+ to C+, with a small proportion of their portfolio being higher loan grades
Small amounts of principal would likely be diversified across many businesses
Should a conservative investor have questions regarding their investments, it's recommended that they contact their dealing representative

Moderate

Typically, a moderate investor is:

Looking for a balance between portfolio stability and portfolio appreciation
Willing and able to accept a moderate level of risk and return
An investor focused on growth but looking for greater diversification
Someone with a portfolio that primarily includes a balance of investments in bonds and equities
Will likely have a well-diversified portfolio in low-medium loan grades a+ to D+ with a focus on lower risk
Individual investment size likely larger than more conservative investors
May have initial questions while becoming familiar with the platforms but will likely decrease over time

Aggressive

Typically, an aggressive investor is:

Primarily focused on pursuing portfolio appreciation over time
Usually, an experienced equity investor who can tolerate market downturns and volatility for the possibility of achieving greater long-term gains
Someone who won't need the money from their investments for 5 years or more
Someone with a portfolio that has exposure to various asset classes but is primarily invested in equities
Will likely have a well-diversified portfolio across all loan grades with relatively even distribution
Individual investment sizes may be larger than more conservative categories
Typically an experiences investors and may have few questions after initial use on the platform

Very Aggressive

Typically, a very aggressive investor is:

Primarily focused on pursuing above-average portfolio appreciation over time
Someone who can tolerate higher degrees of fluctuation in the value of their investments
Someone with high return expectations
Someone who won't need the money from their investments for up to 10 years or more
Someone with a portfolio that has exposure to various asset classes but who will be heavily invested in equities
Will likely have a well-diversified portfolio across all loan grades with a focus on higher returns
Individual investment sizes may be larger than all other investor profiles
Typically an experienced investor and may have few questions after initial use on the platform