Your CART Profile may show a different risk tolerance than the one below. To understand the CART Profile below gives you another way to think about what you want to do with your CART Profile.
SAMPLE Coping Strength And Risk Tolerance (CART) Profile
| Normal | 50% | 30% | 0% | 20% |
|---|---|---|---|---|
| Coping Strength | Achiever High Risk |
Developer Medium Risk |
Controller Low Risk |
Facilitator Balanced Risk |
| Stress Coping | 0% Achiever High Risk |
20% Developer Medium Risk |
50% Controller Low Risk |
30% Facilitator Balanced |
| Average | 25% Achiever High Risk |
25% Developer Medium Risk |
25% Controller Low Risk |
25% Facilitator Balanced Risk |
Let’s Understand More about Risk Tolerance
What if this is your CART Profile, but you did not know that? What can happen? Here’s what:
1. You have made a lot of money by taking risks that others would not take. In February, 2020 the market was close to its all time high and still going up. You are an Achiever. You see this as the opportunity of a lifetime and put 50% of your assets into High Risk investments, 30% in Medium Risk, 0% in Low Risk, and 20% in Balanced Risk (money you and your spouse agree on what to invest). You didn’t even know about the SORT Test©! NOW you know that you were buying what is your Normal Coping Strength.
2. Since the coronavirus hit, your portfolio loses 35% of its value by March 23, 2020 – when the Dow was at its lowest point to that date. Your friend who had some Medium Risk and a lot of Low Risk investments lost 20%.
3. Now you are in your Stress Coping Strength – according to your SORT Test© Results. You are simply beside yourself. You ask, “Why did I ever put 50% of our family money in High Risk investments?”
4. In Stress Conditions you wish that you had 0% of your portfolio in High Risk investments, 20% in Medium Risk, 50% in Low Risk, and 30% in Balanced Risk (money you and your wife agree on what to select).
5. Your wife is very conservative – and is furious with you. She says, “You can take whatever risks you want to take in your business. But NOT with our family money. You put 50% of our family money in High Risk. Lost 35%! We are going to our financial planner and completely revising our portfolio – I will NOT let this happen again!”
This never has to happen to you and your wife at all.
Why? The SORT Test© TELLS you that this is your CART Profile.
Now you can decide to buy your AVERAGE: 25% in High Risk investments, 25% in Medium Risk, 25% in Low Risk, and 25% in Balanced Risk.
If you are married: You and your wife can each take The SORT Test©. Buy the AVERAGE of both of your scores.
What Is a Coping Strength?
Your Coping Strength is your strategy for dealing with the world. It determines what you see and what you do not see. Learn more about Coping Strengths in this Report.