The document discusses the concept of risk tolerance, which is the opposite of risk aversion, highlighting that it reflects an investor's willingness to take on risk when making investment decisions. It outlines factors that affect risk tolerance, such as investment horizon, age, and portfolio characteristics, and categorizes investors into aggressive, moderate, and conservative types. For more detailed information, the document provides a link for further reading.

1. By:-
eFinanceManagement.com
https://efinancemanagement.com/investment-decisions/opposite-of-risk-aversion
Opposite of Risk Aversion

2. 1. What does it Mean?
2. Factors Affecting Risk Tolerance
3. Types of Risk Tolerance
4. Reference
Content

3. Risk aversion is an approach to making investments in safe and stable financial instruments, even though if they provide
limited or low returns. The opposite of risk aversion is “Risk Tolerance”.
Risk tolerance is a term that measures the quantum or the level of risk that an investor is willing to take and bear. A risk-
tolerant investor has the ability to tolerate risks or face uncertain consequences of making investments.
What does it Mean?

4. • Risk Tolerance Impact by Investment Horizon
• Age of the Investor
• Portfolio Characteristics
Factors Affecting Risk Tolerance

5. • Aggressive Investors
• Moderate Risk investors
• Conservative Investors
Types of Risk Tolerance

6. Reference
To know more about it, click on the link given below:
https://efinancemanagement.com/investment-decisions/opposite-of-risk-aversion