Look beyond ratings for a better understanding of investment risk

Ratings provided by independent agencies are a brilliant starting point for advisers working to determine the risk profile of different investment funds, both on and off-platform. But, especially given the elevated volatility that markets have been experiencing recently, it's important that they are seen just as that – a starting point. Risk ratings are useful because they provide a single metric that allows an adviser to assess a potential investment at a glance. But, while ratings provide a fast and cost-effective way to determine suitability and meet regulatory requirements, they o...