Client Risk Profiler (Individuals)

Name
First name Middle name Last name

Date of Birth D D M M Y Y Y Y Phone No.

Occupation Service Business/ Self-employed Student/ Homemaker/ Retired

(Please tick):

This questionnaire is designed to help you in identifying an investment approach that could generally suit you. The
answers define your capacity/ tolerance towards the level of risk you may accept on your investments. It attempts to
measure your appetite to market volatility, weigh the importance of your financial goals and uncover your personal
investment preferences. It has two parts to identify/ evaluate your
1) Risk Capacity, and 2) Risk Tolerance.

Risk Capacity: It is the level of risk that the investor may take in order to achieve financial goals. It is largely dependent
on the investor’s age, profession, income and financial goals. For example, if you need a retirement corpus of around
₹50 lakhs after 10 years, with current savings of ₹ 5 lakhs and monthly additions of ₹20,000, you will need a portfolio
return of approximately 10% per year. This need comes with a certain level of risk, which is your risk capacity. In other
words, it is the amount of ‘risk you NEED to take to reach your financial objectives’.

1) Your present job or business is:

a. Less secure/ Not Applicable 0 b. Relatively secure 1

c. Secure 3 d. Doesn’t matter as you can 3

easily find a good new job/
career
e. Doesn’t matter as you already
have 4
enough wealth

2) The number of years you have until retirement is:

a. Less than 5 years/ retired/ not applicable 0 b. About 5 - 15 years 2

c. About 15 - 25 years 4 d. More than 25 years 6

3) If your current source of income were to stop today, for how long will your present savings support you?

a. Less than 3 months 0 b. 3 - 6 months 1

c. 6 months to 1 year 2 d. More than 1 year 3

4) You have to financially support:

a. Only myself 3 b. Two people including myself 2

c. 3 - 4 people other than myself 1 d. More than 4 people other than myself 0

5) Your current annual family* savings (income less expenses) are:

a. Under ₹2,00,000 1 b. Between ₹2,00,000 and ₹5,00,000 2

c. Between ₹5,00,000 and ₹10,00,000 3 d. Over ₹10,00,000 4

(*Family to include members whose income you can fall upon. In general, include spouse if married and parents if not.)

6) Which of these objectives is the most important to you from an investment perspective?

a. Preserving wealth 1 b. Generating regular income to 2

meet current requirements
c. Balance current income
and long-term growth 3 d. Long-term growth 4
Total your scores for question 1 to 6, to identify your investment risk

capacity. Total Score: Risk Capacity:

Risk Tolerance: It is the amount of risk that an investor is ‘comfortable’ taking, or the degree of uncertainty that an investor
may be able to handle. This is what most investors usually think and read about ‘the risk you WANT to take’. It is crucial
because it can greatly influence your emotional reaction to your portfolio. Investing too far out of your comfort zone
(appropriate risk tolerance) may result into buying-selling for wrong reasons or react improperly to wild swings in the
markets that could hurt your portfolio.

7) Which of the following best describes your understanding of the investment market?

a. An experienced investor, constantly keeps up to date with the investment market. Have exposure to various asset classes
and
fully aware of the risks involved to gain high returns 3

b. Awareness of the financial market is limited to information passed on by broker or financial planner.
Rely on professionals to keep me updated 2

c. Little awareness of the investment market. However, want to build my knowledge and understanding 1

8) Given below is a listing of investment choices from least risky to most risky. Which is the riskiest option you have invested in?

a. Savings Account, Fixed Deposit or

Money Market Funds 0 b. Bonds or Debt Mutual Funds 1

c. Equity Mutual Funds 2 d. Real Estate Funds/ Commodity linked 3

Products
e. Equity Shares/ Structured Products 4 f. Private Equity/ Venture Capital Funds 5

9) Your preferred strategy for managing investment risk is:

a. Do not want to reduce it as investment risk leads to higher returns over the long-term. 3

b. To have a diversified investment portfolio across a range of asset classes to minimise risk. 2

c. To invest mainly in capital stable investments. 1

10) Over a three-month period, an investment you owned lost 20% and the overall stock market lost 20%.
With the economic climate ambiguous, it could plummet further or bounce right back up, how would you react?

a. Sell all of my investments. (The preservation of capital is extremely important to me and I would rather not take the risk)
1

b. Sell some of the investment. (The climate is risky, and I would rather transfer my funds into more secure investments) 2

c. Do nothing with the investment. (This was a calculated risk, and I will leave the investments in place, expecting performance
to improve) 3

d. Buy more of the investment. (I am a long-term investor and consider this sudden market correction as an opportunity
to purchase additional shares at a lower cost basis) 4

11) An investment portfolio with high exposure to growth assets tends to generate higher returns, albeit with
some volatility (fluctuations in value). To what extent are you willing to experience shorter-term losses/
volatility to generate higher returns?

a. Very comfortable. I understand higher returns may come with risk or fluctuation in the short term. However, over the
long-term, there is a low risk of capital loss 3

b. Somewhat comfortable, assuming there is a limit to the 2

volatility
c. Little uncomfortable seeing my investments fluctuate 1

d. More comfortable with investments that have minimal 0

volatility

12) How would you describe yourself as a risk-taker?

a. Willing to take risks for higher return 3 b. Can take calculated risks 2

c. Low risk taking capability 1 d. Extremely averse to risk 0

Total your scores for question 7 to 12, to identify your investment risk

tolerance level. Total Score: Risk

Tolerance:
Grand Total of Risk Capacity + Risk Tolerance (i.e. All the questions) Score: 0

Overall Risk Profile:

Note: More often than not, investors have a lower risk tolerance for their required risk capacity. You may want to evaluate
your investment objectives and constraints regularly and see them in alignment. We suggest that it should be done at least
once in 3 years. In case, the risk capacity is higher than the tolerance level, investors should try to build their comfort level
by enhancing knowledge on the markets and products. On the other hand, with a healthy tolerance for risk, a lower
capacity suggests a moderate or low risk investment strategy.

Risk Capacity and Risk Tolerance Scoring

Risk Capacity Low Medium High

Score 2-9 10-17 18-24

Your risk-taking capacity is Low Your risk-taking capacity is Your risk-taking capacity is High
as your earnings and/ or wealth Medium as either you have a due to your earnings/ wealth and
minimally matches your current medium level of earning and the financial goals and/ or time
liabilities and lifestyle and/ or you wealth and/ or have little time available to fulfill them. You may
Description have little time left to retire; any loss on risky withstand losses on risky
left to retire. In order to achieve investments may have an effect on investments without a very
your financial goals, you have low your current status. Therefore, you significant effect on your current
scope for risky investments, as have the capacity to take low to status. Therefore, you have
the capital loss scenario in quest medium risks capacity to take high risks
of high returns does not match on your investments for low to on your investments for
your risk capacity. medium returns or losses. equally high returns or losses.

Risk
Conservative Moderate Aggressive
Toleranc
e
Score 3-7 8-14 15-21

You are a Balanced investor who

You are a Conservative investor. You are an Aggressive investor
wants a diversified portfolio to
Risk should be low, and you are prepared to compromise
work towards medium to long-
prepared to accept lower returns portfolio balance to pursue
Description term financial goals. You require
to protect capital. The negative potentially greater long-term
an Investment strategy that may
effects of inflation may not returns. Security of capital is
cope with the effects of inflation.
concern you, provided your initial secondary to the potential for
Calculated risks may be
investment is protected. wealth accumulation.
acceptable to you to achieve
good returns.
Overall Risk Profile Scoring and Classification
The following table gives you a brief description of each Risk Profile along with the Recommended Asset allocation
and a list of suitable products.

Profile Very conservative Conservative Moderate Aggressive Very Aggressive

Score 5 - 11 12 - 19 20 - 28 29 - 36 37 - 45

— Low — Seeking — Seeking — Seeking

— Seeking
earning stable earnings above higher
higher
expectatio earnings market earnings
earnings
n — Partial average — Large
Risk Description — Exclusive
— No investments — Mixture of investments
investments
investments with investments with
with
with heightened with low and heightened risk
heightened
heightened risks possible high risks — Increased
risk
risk — Little — Willingness to willingness to
— High
— Very little willingness to take risks take higher
willingness to
willingness to suffer losses risks
take risks
lose capital

10%
10% 10% 10% 10%
20%
10%
15% 15% 30%
Model Asset 5%
15%

Allocation
75% 25% 50% 80%
45% 65%

— Savings/
— Savings/ Fixed
— Savings/
Fixed Deposits
Fixed
Deposits — Liquid/ Money
Deposits
— Liquid/ Money Market/
— Liquid/ Money
Market/ Arbitrage
— Savings/ Market/
— Savings/ Arbitrage / Debt/ Equity
Fixed Arbitrage
Fixed / Debt/ Equity Mutual Funds
Deposits / Debt/ Equity
Deposits Mutual Funds — Bonds
— Liquid/ Money Mutual Funds
— Liquid/ Money — Bonds — Gold
Products Market/ — Bonds
Market/ — Gold (Commodities)
Arbitrage — Gold
Arbitrage/ Debt (Commodities) — Portfolio
/ Debt/ Equity (Commodities)
Mutual Funds — Portfolio Managemen
Mutual Funds — Portfolio
— Bonds Managemen t Services
— Bonds Managemen
— Gold t Services — Structure
— Gold t Services
— Structure d
(Commodities) — Structure
d Products
d
Products — REIT’s/ Real
Products
— REIT’s/ Real Estate
— REIT’s
Estate Funds
(Rental Yield
Funds — Alternative
based
— Alternative Investment
products)
Investment Funds
Funds — Private
Equity
Funds
Keys Money Market/ Debt Equit Alternatives
Liquid y

Deutsche Bank states:

This risk profiler is intended for use by the customers as a tool for assessing the customer’s risk appetite/ capacity and risk taking ability/ tolerance. Deutsche
Bank AG does not assure the correctness or accuracy of the risk assessment by means of the risk profiler. The risk profiler is not designed to assure or
guarantee any returns or success of any particular investment
alternative. Neither Deutsche Bank AG nor any members of Deutsche Bank group nor other respective directors, officers or employees shall be responsible for the
contents of the risk profiler or the outcome of risk assessment. Investment in securities are subject to market risks. All decisions to sell or purchase units/
securities shall be on the basis of own personal judgment of the customer after consulting his/ her/ their own external investment consultant. Deutsche Bank AG
does not in any manner guarantee any returns on any of the investment products.