Risk has lots to do with investment selection. So, how prone is your tummy to flip-flops when the ride gets bumpy? Some people can take the big ups and downs, because they believe the potential for higher rewards is worth it. Others prefer a smoother ride and are willing to accept lower returns in exchange for low risk. You’ll want to invest some (but not all) of your money in the investment vehicles that best reflect your risk type. So, if you’re a low risk sort, a good percentage of money will be devoted to safety of principle, but some should be earmarked for a somewhat higher risk. I’ll let Gordon explain.