Why is it important for you to understand YOUR risk tolerance before you start investing?

It helps you decide if you want to participate in your employer$$s match program for your $401($k$).$

You should tailor your investment portfolio so that it assumes an amount of risk you are comfortable with.

It$$s recommended that people with a low risk tolerance shouldn$$t invest at all.

If you have a high risk tolerance, you may be eligible for lower fees since you won$$t care if your portfolio drastically loses value.