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Core~3 min
Allocate the Fund
Risk–reward tradeoffs in investing
The Concept
Risk tolerance is the variance in outcomes you'll accept for higher expected return. There is no single 'right' answer — only consistency with your goals.
The Science
Rational risk-taking maximizes expected utility, not expected value — your personal curvature of utility defines your optimal risk.
You'll face 2 decisions. There are no right answers shown in advance — choose as you genuinely would. Your responses build your Decision DNA.