Take Risk.... or.... Play Safe ?. Two financial pills

[Felicity_Tide]

one thing about me I prioritise safety than profit. Because if you endup losing everything there won't be any profits for you.

Likewise, there are others that sees risks as the true way to financial freedom.
They're infact not far from the truth, but there are some risks that are not just worth taking IMO.

I have always had this discussion in mind, until I got a perfect scenario I can use as an example. Please, note that I have no issues with the points I_Anime has made, but I choose to use the two quoted text as an example as they show two different type of financial pills that can be offered or taken by anyone. Taking Risk.... Or Playing safe. _{When I use the word "pills", maybe the movie "matrix" must have come to your mind as well.}

When it comes to Taking certain financial decisions at some point, the extreme to what a person can do is sometimes required, as it can present good financial results. But on the other hand, not everyone wants to involve themselves in risk, as they believe playing safe is the best option.

Of recent, I start to ask myself this question: "To take Risk and to Gamble na the same thing?. It may be to you, while to others, it isn't. Of course, gambling fit be the same as taking 'Risk', but risk no fit be the same as 'gambling'. Though, reverse can also be the case, as everyone tends to see things from different angle.

I think sometime in the beginning of this year, I met a friend who said and I quote: "This year, It's going to be Risk...Risk...and Risk". I asked him why, and he said: "Taking risk has brought me this far". Not everyone have the guts to take certain risks at some point, but I believe everyone hopes to have something that risks takers ends up having. Certainly, the negative part of taking risk is what most people fear, but if there was no negative side attach to it, then everyone would be taking risk, abi no be so?.

So, let me ask a very direct questions...
1. What's your own definition of financial risk?
2. Where do you find yourself, Risk taker or Safe player?
3. Do you always attempt to take certain financial risk when the opportunity presents itself?.


NB: I intensionally choose not to involve/mention any type of investment assets or business, so as to hear people's opinion from a neutral point of view. Na Naija we dey, so make we talk am as e be, because I believe almost all of us here dey try put in one or two daily efforts just to outclass the financial constraints that surrounds so many sectors, especially for the employees, i.e people wey dey on salary.

[K_vin]

This is a very sensitive topic all over the trading industry irrespective of the asset class, risk is inherent in every industry its that just in trading we come directly in contact with it every trading day
 RISK is the amount in the capital or asset you are willing to loose should a trade go againt you or the trading cost of a transaction. In trading this is an everyday decision..
To succed in a market as risky as the trading markets one must have a proper ideology behind trading regarding risk and that is categorised in two forms
 1. Offense, as traders we are offensive in approach, this means that we stake an amount on daily bases into to make profit from trading...
2. Defense we are also defensive, this means that while we stake our money in the market we also protect our life in the market which is our capital by applying proper risk management
   Viewing risk in these two lights often helps a trader put things into better perspective, the quotience of your offense compared to your defense reveals a traders risk ratio

WHAT DETERMINES THE RATE OF OFFENSE

     1. CAPITAL this is the base of your risk, no matter your risk appetite it will  be tamed by your available trading capital, it may be reckles for a traders to trade sizes bigger or detrimental to their account size or available trading capital
     2 KNOWLEDGE one of the things that will guide traders appetite on risk is proper knowledge about the market, there are rules of engagement in the every field, and trading is not an exception, proper knowledge will influence a traders risk per time
     3. FUNDAMENTAL as traders we know economic activities has an influence on trading and so the state of an economy can influence a traders risk appetite etc
     4MARKET SENTIMENT sometimes the marketnis risk averse and other times the market is risk on, these shifts in market sentiment can go a long way to influence a traders decision on how to approach risk in trading

These factors and many more others add up in shaping the risk appetite of a trader, because the way the markets operates risks is an everyday requirement therefore your choice of how much you put in the market will be dependent on your personal risk appetite..however following the right step like the ones listed above and many others can help shape your decision if you should risk high or low as there is no general rule to risk in trading how ever there are procedures

[Pablo-wood]

Taking risk is good and truly can lead to financial freedom but there is no 100% guarantee to this. On the other playing safe is like repeating a cycle for as long as we keep playing safe. To me i prefer taking risks but before I do so I ensure I have a backup plan because I know for sure risks are what they are it can turn out to be positive or negative.

Let me say I have $1000 and I want to trade bitcoin and from all indications my setup is clear and the market direct should go as I predicted, because I am careful not to fall a big victim of oversight or reversals I will cut the funds into two then risk maybe 70% and save 30% so I have something to fall back to incase of loss.

Another scenario let me say I want to buy Bitcoin with the aim of Hodl for a long term. I can't risk all because who knows the market might be experiencing bear season and I will be trapped in the near so I will still split it, take the risk with the same 70% and use 30% for something that will sustain me while I wait for the bull run to set in.

[Futurexxx]

one thing about me I prioritise safety than profit. Because if you endup losing everything there won't be any profits for you.

Likewise, there are others that sees risks as the true way to financial freedom.
They're infact not far from the truth, but there are some risks that are not just worth taking IMO.

So, let me ask a very direct questions...
1. What's your own definition of financial risk?
2. Where do you find yourself, Risk taker or Safe player?
3. Do you always attempt to take certain financial risk when the opportunity presents itself?.

I find it extremely average not taking risk as an individual,  let's take a look around us today, those wealthy people and those business men that made it to the top did take calculated risk , and that is why they are at the top today, if they were shying away from risk they would have be poor and average.
Do not forget that we are in a country where those that are surviving and doing very well are those people that took their destiny in their hands, because you might be a graduate but if you don't take charge of your destiny by taking some financial risk,  honestly you will be even struggling to live an average life.
So my brother taking risk has become the only way to survive this our  harsh economy .

As for the question you ask;
1. My definition of financial risk is investing in an asset like Bitcoin or any other business out there that can pay my bills.

2. I am a risk taker, not taking risk is like you have accepted your Faith like an average lamb waiting to be slaughtered.

3. Yes, taking calculated risk has always been my thing, because I can't afford to be average, especially in this our nation naija.

[Davidvictorson]

So, let me ask a very direct questions...
1. What's your own definition of financial risk?

A financial risk taker is a person who takes financial risk with the expectation of a positive outcome that will increase their financial standing. It may be a small risk or a big risk. The endpoint is to increase their financial standing. This financial risk taking is not only in business or investment space, it is also in career phase. It is also in where one lives, urban or rural, Nigeria or Ghana, Africa or Europe.

2. Where do you find yourself, Risk taker or Safe player?

I have not seen any Nigerian that is not a risk taker. That is why all these multilevel marketing schemes is also very successful. Some of these risks are not well thought of or planned some of them are just stupid move based on greed and that is why they end up getting scammed ninety percent of the time.

3. Do you always attempt to take certain financial risk when the opportunity presents itself?.

Not always because, it is not every financial risk that you should take. We should choose out risks just as we choose our battles.

[Marvelockg]

this is a very interesting topic, and it is what differentiate the big players that are always ready to become the risk taker from the conventional person that is comfortable with doing the normal and less risky thing that gives him the kind of result that he is at least certain of.

if you are doing a job that pays you 500k a month for instance and overtime have managed to save up two million naira, leaving that money is saved form with be the surest way of guarranteeing the safety of the money but investing the 2 million naira can yield either of these two results. it is either or lose the money or the investment yield good returns that places you at a better place financiall. this is the difference between the riak taker abd abnother that is afraid of taking risk due to fear of failure.

playing safe might look really comfortable but if you are the type that is interested in getting really good result from whatever investment or thing you are into, you must be an high risk taker. big players in all industry are high risk takers but at the same time they make only calculated risk.

So, let me ask a very direct questions...
1. What's your own definition of financial risk?

anytime you put your finance into use, you have taken a risk. the extent of the risk is just dependent on what you have put the finance into and what kind of potential it has.

2. Where do you find yourself, Risk taker or Safe player?

at the moment, i can look at myself as a safe player but with more finance, i can afford to take some high-risk decision though it will still be a well calculated one.

3. Do you always attempt to take certain financial risk when the opportunity presents itself?.

if the resource is there and some back up funds is available, i do, certainly but without some back up funds in place, it's very rear.

[BIT-BENDER]

If you listen to many of this social media influencers and follow up all their advice you would find out they lied to you. Many influencers especially those in the financial area usually hype their followers to believe in risk taking and many usually claim that's how they made their wealth but you can not be sure if that is true or not.
In my own opinion a steady win should not be underrated, you can play safe accumulating your wins gradually and before you know it you are good for yourself. But a huge risk can cost you a life time.

[RockBell]

If you listen to many of this social media influencers and follow up all their advice you would find out they lied to you. Many influencers especially those in the financial area usually hype their followers to believe in risk taking and many usually claim that's how they made their wealth but you can not be sure if that is true or not.
In my own opinion a steady win should not be underrated, you can play safe accumulating your wins gradually and before you know it you are good for yourself. But a huge risk can cost you a life time.

And the reason why some people have lost there money is because they have so much believed in social media and majority of them on that social media are always looking for ways to convince people to there own advantage and it is always better to act on your own when you have the idea about the investment then you should be able to take the right step always because when you know what to do exactly you should not be deceived by influencers.

And majority of those influencers are not taking any shity risk they are just doing there thing, to grow there followers they don't care about anyone and how they feel, and I believed that some influencers will to to the extent of going to hotels to shoot and make people believe a lot of things and that is why keeping up with that live style is hard.

Only few of them are real with there life style and most of them are pretending to be who they are not and a lot of things people need to know before trusting them.

[Jegileman]

So, let me ask a very direct questions...
1. What's your own definition of financial risk?

Financial risk is simply making sure that you’re not risking more than you should and always be on a go to always take advantage of an opportunity when it presents itself. Some risks are not worth taking checking at your financial situation while some are worth taking checking the same financial situation. It’s all a calculated thing that in the end it’s either worth it or you learnt a lesson to position yourself better the next time.

2. Where do you find yourself, Risk taker or Safe player?

I find myself as both. It depends on what presents itself to me at that time. When I have more money to take risks that the tendency of earning good profits is good, I’ll definitely take it while having in mind that I can still handle the repercussions. Playing safe is indeed good, but always on the safe zone won’t get you that big win without taking some little risks.

3. Do you always attempt to take certain financial risk when the opportunity presents itself?.

Yes definitely, that’s the best time to take risks. While taking on this risk, be sure that you’re also okay with the repercussions as it should be what you can handle if things don’t later go well. Don’t FOMO when you already missed the chance, opportunities will still come again for you to get into early.

[Proty]

If you listen to many of this social media influencers and follow up all their advice you would find out they lied to you. Many influencers especially those in the financial area usually hype their followers to believe in risk taking and many usually claim that's how they made their wealth but you can not be sure if that is true or not.
In my own opinion a steady win should not be underrated, you can play safe accumulating your wins gradually and before you know it you are good for yourself. But a huge risk can cost you a life time.

I totally disagree with you on this because for this life if you are not willing to take risk you can not progress. Life itself is full of risk so whatever business you are doing so long as money is involve you are taking risk because you may end losing your money. Majority are grip with the fear syndrome of losing their money  and end up not being successful because they will see business opportunities and they will end up not exploiting because of the fear of losing their money. The most successful people in any endeavor are risk taker.  

[Amphenomenon]

If you listen to many of this social media influencers and follow up all their advice you would find out they lied to you. Many influencers especially those in the financial area usually hype their followers to believe in risk taking and many usually claim that's how they made their wealth but you can not be sure if that is true or not.
In my own opinion a steady win should not be underrated, you can play safe accumulating your wins gradually and before you know it you are good for yourself. But a huge risk can cost you a life time.

I totally disagree with you on this because for this life if you are not willing to take risk you can not progress. Life itself is full of risk so whatever business you are doing so long as money is involve you are taking risk because you may end losing your money. Majority are grip with the fear syndrome of losing their money  and end up not being successful because they will see business opportunities and they will end up not exploiting because of the fear of losing their money. The most successful people in any endeavor are risk taker. 

Do you know that the main reason many often turn down business/investments idea is from the fact that they likely do not have a ground understanding in that aspect?
You don't blindly take risks expect you know not just the potential outcome of it but also, the fact that you understand the worth/need of that business/investments.

Risk is good but should be carefully calculated and planned even in order to come up with a better strategy when things doesn't as plan. The social media influencers took risks but often time not as exaggerated as they claim, which is just to make the story more touching and get to heart/head of people. Many are liars and didn't even suffer as they claim.


One ground scenario is the fact that if we all were around when Bitcoin were mined and did get some before it got a price or when it was way cheaper, some of us would have sold theirs while fewer would still be holding till now. The biggest risks here are those who did HODL till now or those who did buy bitcoin around $60k in 2021 or 2022 when the dip to $15k+ came many sold at lost even when the media was saying that was the end of bitcoin but with the knowledge they had instead of them to panic sell they bought more and now will be smiling big.

[Felicity_Tide]

So, let me ask a very direct questions...
1. What's your own definition of financial risk?

A financial risk taker is a person who takes financial risk with the expectation of a positive outcome that will increase their financial standing. It may be a small risk or a big risk. The endpoint is to increase their financial standing.

Of course, every risk taker must have expectation of a positive outcome, but at the same time, they should also have what it takes to bounce back if things eventually turns south.
I think the confidence and courage to sit back, make proper analysis on where things went wrong, and give another try using a different approach helps to build whosoever is in such situation.

I have not seen any Nigerian that is not a risk taker. That is why all these multilevel marketing schemes is also very successful. Some of these risks are not well thought of or planned some of them are just stupid move based on greed and that is why they end up getting scammed ninety percent of the time.

Exactly. we have so many people who jump into certain supposed opportunities without weighing what's going to be at cost.
Even though it is called risk, there are some risk that are not worth taking.

One ground scenario is the fact that if we all were around when Bitcoin were mined and did get some before it got a price or when it was way cheaper, some of us would have sold theirs while fewer would still be holding till now. The biggest risks here are those who did HODL till now or those who did buy bitcoin around $60k in 2021 or 2022 when the dip to $15k+ came many sold at lost even when the media was saying that was the end of bitcoin but with the knowledge they had instead of them to panic sell they bought more and now will be smiling big.

And at the end of the day, Risk is still part of everything. It is very true that some influencers might just be saying certain things for the sake of content creation.
And concerning those who bought bitcoin at different price, that's truly some kind of risk there.
Just imagine hodling a type of money that isn't popular, and doesn't worth much as at 2009-2012 compare to what we see today. _{That risk just too dey crazy.} But at the end of the day, the risk eventually paid off, even though the future wasn't 100% certain at first. What a beneficial risk for those who trusted their actions.

anytime you put your finance into use, you have taken a risk. the extent of the risk is just dependent on what you have put the finance into and what kind of potential it has.

Brief, but perfect definition...

Taking risk is good and truly can lead to financial freedom but there is no 100% guarantee to this.

And that is why it is called "Risk".

[Rruchi man]

1. What's your own definition of financial risk?

The financial risk is any risk that puts you in danger of losing your money, going broke or bankrupt at the same time puts you in a position of profiting massively if things go right.

2. Where do you find yourself, Risk taker or Safe player?

I have taken some decisions that were risky and had potential of failure, but it didn't stop me anyway. I ended up in a better position, so yes, I am a risk-taker.

3. Do you always attempt to take certain financial risk when the opportunity presents itself?

How else do I expect to become very rich if not to take opportunities as quickly as they come? There is a lot of benefit in taking advantage of opportunities as soon as they present themselves.

[Jerrycrypto2024]

1. What's your own definition of financial risk?

The financial risk is any risk that puts you in danger of losing your money, going broke or bankrupt at the same time puts you in a position of profiting massively if things go right.

2. Where do you find yourself, Risk taker or Safe player?

I have taken some decisions that were risky and had potential of failure, but it didn't stop me anyway. I ended up in a better position, so yes, I am a risk-taker.

3. Do you always attempt to take certain financial risk when the opportunity presents itself?

How else do I expect to become very rich if not to take opportunities as quickly as they come? There is a lot of benefit in taking advantage of opportunities as soon as they present themselves.

Many with there view and definition to what financial risk could be for them, but all what you stated speaks volumes in tune of what financial risk is all about. I can say in addendum that financial risk entails adventure to which most time the out is always positive or negative. It's a semi gambling system to which once finance is to to use with positive expectations though could be negative at time when the targeted plans is off line.

[CryptoHeadlineNews]

When it comes to Taking certain financial decisions at some point, the extreme to what a person can do is sometimes required, as it can present good financial results. But on the other hand, not everyone wants to involve themselves in risk, as they believe playing safe is the best option.

Taking risk or playing safe as a gambler or trader in any of the respective fields is actually not bad, because there are certain factors that will determine an individual into either taking risks or playing safe, such as your current financial capabilities and level of knowledge into understanding the game you are gambling on, or the pairs you are trading on (e.g BTC vs USDT). Because as a beginner who is just starting, playing safe is the best strategy to apply, in other for you not to lose all your capital, but as time goes on, and you have grown your portfolio into 1000x to 10,000x , such individual can gamble with the sole aim of taking profit. Simply because they have got a huge bank account, and will literally not feel it if the trade go in lost.

[Amphenomenon]

One ground scenario is the fact that if we all were around when Bitcoin were mined and did get some before it got a price or when it was way cheaper, some of us would have sold theirs while fewer would still be holding till now. The biggest risks here are those who did HODL till now or those who did buy bitcoin around $60k in 2021 or 2022 when the dip to $15k+ came many sold at lost even when the media was saying that was the end of bitcoin but with the knowledge they had instead of them to panic sell they bought more and now will be smiling big.

And at the end of the day, Risk is still part of everything. It is very true that some influencers might just be saying certain things for the sake of content creation.
And concerning those who bought bitcoin at different price, that's truly some kind of risk there.
Just imagine hodling a type of money that isn't popular, and doesn't worth much as at 2009-2012 compare to what we see today. _{That risk just too dey crazy.} But at the end of the day, the risk eventually paid off, even though the future wasn't 100% certain at first. What a beneficial risk for those who trusted their actions.

Yes but the thing here is not just taking risk blindly but with the cautiousness of sound knowledge, which is an important factor for success or not being swayed by others rather sticking to what you know, although it can still bring good ROI or may just be a bad investment but majority of the time, the end shows which party had the right knowledge or in  regarding to Bitcoin knew the truth.

[iBaba]

If you listen to many of this social media influencers and follow up all their advice you would find out they lied to you. Many influencers especially those in the financial area usually hype their followers to believe in risk taking and many usually claim that's how they made their wealth but you can not be sure if that is true or not.
In my own opinion a steady win should not be underrated, you can play safe accumulating your wins gradually and before you know it you are good for yourself. But a huge risk can cost you a life time.

Many of those influencers are not real in their presentation of risk taking and I think they are deliberate because they're end goal is to making the whole product they're selling fascinating to you. But in reality, there's limit to the level of risk you should take in life and if you're not emotionally prepared for it and also do not have a grounded knowledge about what you're going into, do not take risk for nothing.

I totally disagree with you on this because for this life if you are not willing to take risk you can not progress. Life itself is full of risk so whatever business you are doing so long as money is involve you are taking risk because you may end losing your money. Majority are grip with the fear syndrome of losing their money  and end up not being successful because they will see business opportunities and they will end up not exploiting because of the fear of losing their money. The most successful people in any endeavor are risk taker. 

I don't think you understand the kind of risk he's talking about. Life generally is all about taking risks, yes. But is it all kinds of risks you take, no. You need to understand that it is necessary to set limitations to the kinds of risks you take particularly when you've got no much details on what you're venturing into. It is advised that you take very minimal risks. We all love to take risks one way or the other but a huge risk can indeed cost you a life time and your ability to take risks responsibly is what makes you a good risk taker not just listening to some influencers out there to make profits out of their products and adverts.

[$weetne$$]

So, let me ask a very direct questions...
1. What's your own definition of financial risk?
2. Where do you find yourself, Risk taker or Safe player?
3. Do you always attempt to take certain financial risk when the opportunity presents itself?.

Financial risk are any risk that leads to you going bankrupt and losing money to the investment that you are doing. Financial risk can be avoided with proper calculation but many of us do not handle our investment decisions with carefulness and that is why we get into financial problems. There are people that have gone through the same phase of life that we are passing through therefore when we ask around to gather the right information on how to take risk, we can avoid some financial risks. There are some financial risk that can make us money but there are more that will make us to lose money therefore when taking any risks, being more careful should be practiced. I was once a risk taker but when I started learning how to trade from my mentor, I changed my perspective and began to be more careful on how I take risks to avoid losing.

[Pearl_20]

Taking risk is one thing that actually requires a lot of thoughts before venturing into it. Financial risk is someone taking up a decision to invest his or her money with the hope of losing or gaining at the end. Risk comes with a lot of uncertainties because at the end you don't even know if there will be losses or profits for that big decision taken.

On the other hand playing safe is not even safe at all, because at the end of the day you just realize you've stuck at just one particular place for so long and no growth, No development and changes in your financial life. taking risk comes with a lot of fears this days considering how bad the world is, you cant even trust people, and so much fraudulent activities out there, we have millionaire's, billionaire's who are top business men and women, these people if you take proper look at their history and background you will realize they're risk takers, many of them has failed, lost huge money invested, but didn't stop till they got it right. for me, Getting a first hand knowledge or information of the investment you want to venture into can lower the chances of getting losses, imagine investing your money in business you have absolute no knowledge about the loss can even cripple you, make you go bankrupt and some can even lead to death.

Life they say is a risk, but then not all risk are worth taking. taking you're financial life seriously is also a good one, not all business are worth taking, ponder over it, get informed and if is not convincing you just stay out completely but if is okay, you can take your chances.



   










 

[Gozie51]

We no go see fire carry hand go put make we for see whether na fire. If you want to taste whether na fire and whether e fit fry akara, make we take firewood take taste am at least that one go let us know how the fire be. The point be say we know say risk good and e don catapult people to greater height but me I no believe say many of the successful risk takers took risk where they are suppose to keep something behind.

There is what is called foolish risk. You no go take risk just like that, you go also plan and get reserve incase the risk no work then you go for reserve wey be plan B, sustain yourself with it and then plan another risk. For example person get 200k only, home and abroad, and you carry everything take gamble without even thinking say if you lose. The best thing to do in such situation is to split it into half then try your luck, incase you fail you can split again and try your luck etc. So I believe say the best kind of risk is having opportunity to take another risk, na person wey wise dey learn from people mistake.

But Omo, e get some times wey things don push you for wall wey go just want kukuma take the risk like that but make we still dey get patient sha.