Bayerische Börse AG – tetralog Risk Type Profiling
The Magical Triangle is a tetralog Web-App, developed as a self-assessment tool for Bayerische Börse AG to compare the subjective to the objectively measured risk type and provide investment guidance.
Within a tool box for private investors offering a watchlist, instrument monitoring, chart analysis and calculators, individual risk assessment holds a prominent position to support private investors.
In an interactive approach the Magical Triangle helps to better understand individual risk preferences based on the three differentiating dimensions of security, return and liquidity. The goal is to model a portfolio that truly reflects individual expectations.
Initially, users set a subjective position within the dimensional triangle of security, return and liquidity. A set of brief questions then analyzes the true investment personality type. Potential mismatches of the initial self-assessment and the result of the guided questionnaire are highlighted.
Based on the true individual investment personality, a second result is a model portfolio matching the measured risk type to a feasible set of asset classes and investment volumes
Benefits of the Magical Triangle self-assessment tool:
- Unbiased Measurement: Helps to understand the subjective, true investment personality type
- Guidance: Indicates strategical options to meet individual investment goals
- Results: Supports to take fact-based investment decisions