Risk Profiling Questionnaire
The Hongkong and Shanghai Banking Corporation Limited
Customer Information
Customer Name
Customer Number
Risk Profiling Questionnaire
This questionnaire is designed to help you consider your Risk Tolerance. It asks questions that provide some indication of the Risk
Tolerance for a typical investor displaying your personal investment characteristics. It may not match your actual attitude toward
investment risk, but it indicates the profile you fit into.
About You –Your Risk Tolerance
1. What portion of your net worth would you like to set aside for investments? Please note that there is a potential loss of your
capital when investing in investment products*.
0% Between >0% and 50% Over 50%
*Such products could include one or more of the following: stocks, unit trusts, foreign currencies, commodities, structured
investment products.
2. Generally, investing involves a trade-off between risk and return. It has been historically shown that investors who achieve high
returns have experienced correspondingly high fluctuations and losses. In order to achieve your expected returns, which statement
best describes the degree of losses you are willing to take?
I am willing to accept minimal amount of capital loss.
I am willing to accept moderate capital loss.
I am willing to accept high capital loss.
3. On the whole, which of the following best describes your investment objectives?
Capital preservation Achieve substantial long term capital growth
A regular stream of stable income High capital appreciation
A combination of income and capital growth
4. The following answer options are descriptions of 5 sample portfolios and their potential* portfolio gain and loss outcomes over a
short time horizon (i.e. 1 year). Which of the sample portfolio would be most attractive to you?
Portfolio (a) – I am willing to accept a potential loss of 3% in exchange for 9% potential upside.
Portfolio (b) – I am willing to accept a potential loss of 10% in exchange for 18% potential upside.
Portfolio (c) – I am willing to accept a potential loss of 15% in exchange for 25% potential upside.
Portfolio (d) – I am willing to accept a potential loss of 20% in exchange for 31% potential upside.
Portfolio (e) – I am willing to accept a potential loss of 27% in exchange for 40% potential upside.
5. What will you do with your investments if the value drops over a period of time due to market fluctuations?
I do not wish to hold on to any investments at a loss and will sell the investments immediately even if the drop in value is
small.
I will sell the investments if the drop in value is large.
I will sell some of the investments if the drop in value is large, and wait for the remaining investments to recover in value.
I will not sell the investments, regardless of the drop in value, as I would like to wait for the investment to recover in value.
I will not sell the investments, regardless of the drop in value, and will buy more to capitalize on the cheaper price.
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Issued by The Hongkong and Shanghai Banking Corporation Limited RBWM_CVM_10Nov2015_0142
6. Generally, higher returns are coupled with higher risks and fluctuations. The following answer options describe the level of
fluctuations in the value of 5 different investment portfolios over a long period of time, e.g. 10 years. Which would you be most
comfortable investing in?
Portfolio (a) – The value may have limited fluctuation of 5% in
both directions, with the potential for small gains and losses.
Portfolio (b) – The value may have more fluctuation of 10% in
both directions, with the potential for more gains and losses.
Portfolio (c) – The value may have moderate fluctuation of 15% in
both directions, with the potential for moderate gains and losses.
Portfolio (d) – The value may have considerable fluctuation of
20% in both directions, with the potential for greater gains and
losses.
Portfolio (e) – The value may have extensive fluctuation of over
20% in both directions, with the potential for substantial gains and
losses.
Risk Tolerance Points Score
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Issued by The Hongkong and Shanghai Banking Corporation Limited RBWM_CVM_10Nov2015_0142
Your RiskTolerance
Score Risk Tolerance Definition
Knock-out SECURE You generally do not want to take any investment risk, since you can accept no investment loss.
Financial products with an investment element are not suitable for you.
Products that are potentially suitable for you are likely to produce returns that are based on
prevailing interest rates which may or may not keep pace with inflation.
0-6 VERY You are generally comfortable with achieving a minimum level of return potential on your
CAUTIOUS investment coupled with minimal risks.
Capital values of products that are potentially suitable for you can fluctuate and may fall below
your original investment. In normal market conditions fluctuation is expected to be minimal
(although this is not guaranteed), and you are comfortable with this level of fluctuation.
Investment products with risk rating 1 are likely to be suitable for you.
7-13 CAUTIOUS You are generally comfortable with achieving a low level of return potential on your investment
coupled with a low level of risk.
Capital values of products that are potentially suitable for you can fluctuate and may fall below
your original investment. In normal market conditions fluctuation is expected to be low (although
this is not guaranteed), and you are comfortable with this level of fluctuation.
Investment products with risk rating 2 or below are likely to be suitable for you.
14-23 BALANCED You are generally comfortable with achieving a moderate level of return potential on your
investment coupled with a moderate level of risk.
Capital values can fluctuate and may fall below your original investment. Fluctuation is expected
to be higher than products that are suitable for investors in lower risk tolerance categories, but
not as much as for higher risk tolerance categories.
Investment products with risk rating 3 or below are likely to be suitable for you.
24-32 ADVENTUROUS You are generally comfortable with achieving a high level of return potential on your investment
coupled with high level of risk.
Capital values can fluctuate significantly and may fall quite substantially below your original
investment. You understand the risk/reward equation, and are comfortable with this level of
fluctuation.
Investment products with risk rating 4 or below are likely to be suitable for you.
>=33 SPECULATIVE You are generally comfortable with maximizing your return potential on investment coupled with
maximized risk.
Capital values can fluctuate widely and may fall substantially below your original investment.
You understand the risk/reward equation, and are comfortable with this level of fluctuation.
Investment products with risk rating 5 or below are likely to be suitable for you.
Based on the answers you have provided, your score is
Using the above definition, your Risk Tolerance is likely to be
If you disagree with this conclusion, please indicate your Risk Tolerance that you believe is more accurate (please tick the
appropriate one). This can only be lower than the Risk Tolerance calculated above, and will be the Risk Tolerance captured in the
Bank’s record.
SECURE VERY CAUTIOUS CAUTIOUS BALANCED ADVENTUROUS
FINAL RISK TOLERANCE
Customer Confirmation:
I/We confirm that my/our Risk Tolerance is correctly stated above and that the information I/we have supplied is correct. I/W e confirm
that I/We were reminded and are aware that I/we should have adequate liquid funds to meet unforeseen events.
Customer Name and Signature
To be completed by the other Joint Accountholders: I/We confirm that I/we conform to the above-named co-joint accountholder’s
general risk attitude to represent my/our risk profile, and that the details provided are correct.
Customer Name and Signature Customer Name and Signature
Customer Name and Signature Customer Name and Signature
Date signed - - dd-mm-yyyy
HSBC Philippines is regulated by BSP. To contact HSBC for inquries or complaints, call (02) 85-800 from Metro Manila, 1-800-888-0000 PLDT domestic toll-free,
+63(2) 976-8000 from overseas, email
[email protected], or visit hsbc.com.ph/feedback. Contact BSP at (02) 708-7087 or
[email protected]. Note: Do
not provide your account or credit card numbers or disclose any other confidential information or banking instructions through email.
RESTRICTED once signed by client
Issued by The Hongkong and Shanghai Banking Corporation Limited RBWM_CVM_10Nov2015_0142
