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  • The timeframe on the decision scenarios in the TrueProfile risk activities is within one year.  In other words, the client should imagine the outcome of the scenario as happening within a year’s time.  TrueProfile uses a near-term time frame because it is measuring the client’s current risk preferences.
  • This measurement should not be confused with the time horizon associated with the investment capital.  The investment capital could, for example, be a client’s superannuation/retirement funds, with a time horizon of 20+ years.  In this case, TrueProfile would capture a snapshot of a client’s current risk preferences toward her superannuation funds.