What are investment risk grades RG1 to RG5?

Investment risk grades (RG1–RG5) classify portfolios by risk level. RG1 is most cautious — no model portfolio is offered at this grade. RG2 Cautious (20–40% equity, 5+ years), RG3 Balanced (40–60% equity, 5–7 years), RG4 Growth (60–80% equity, 7+ years), RG5 Aggressive (80–100% equity, 10+ years).

Which risk grade should I choose?

Your financial adviser determines the appropriate risk grade using a structured Attitude to Risk (ATR) questionnaire. Quorum Capital does not assign risk grades directly.

Why is there no portfolio for RG1?

RG1 investors are typically best served by cash savings accounts and short-dated government bonds rather than a diversified investment portfolio. Building a low-risk portfolio just to fill the slot would charge discretionary fees for something cash can do better.

Can I change my risk profile?

Yes. Speak to your financial adviser. They can reassess your ATR and request a mandate change with Quorum Capital. The portfolio is rebalanced to the new grade at the next rebalancing opportunity.

For investors · Risk profiles

Five risk grades. Four portfolios.

Your adviser will place you in one of five risk grades - from defensive (RG1) through to aggressive (RG5). We run portfolios for four of them. RG1 is generally better suited to cash and government bonds than an investment portfolio.

The five grades.

Grade	Profile	Equity range	What it feels like	Suggested term	Quorum portfolios
RG1	Defensive	0%-20%	You cannot tolerate any meaningful loss of capital	Short-term	No portfolio — see cash & gilts
RG2	Cautious	20%-40%	Small short-term ups and downs in exchange for modest growth	5+ years	Core RG2 · Passive Cautious
RG3	Balanced	40%-60%	You accept periodic dips for the chance of meaningful long-term growth	5–7 years	Core RG3 · Core RG3 Ethical · Passive Balanced · Income · Ethical Income
RG4	Growth	60%-80%	You’re comfortable with bigger swings for stronger long-run returns	7+ years	Core RG4 · Passive Growth
RG5	Aggressive	80%-100%	You can stomach large temporary losses and accept the highest volatility	10+ years	Core RG5

Risk profile is decided by your adviser, not by you alone. It's based on what you can afford to lose, not just what you'd like to earn.

What risk means in real money.

Illustrative: how a £100,000 portfolio might behave at each risk grade over a typical bad year. Real outcomes will differ.

RG2 · Cautious

−£5,000

Possible drawdown in a poor 12-month window. Recovery typically inside 2–3 years.

RG3 · Balanced

−£10,000

Bigger swing, balanced by stronger growth in good years. The most popular grade.

RG4 · Growth

−£15,000

Significant temporary loss in a bad year — but historically the best long-run returns.

RG5 · Aggressive

−£20,000

Equity-like risk. Only for investors with a long horizon and the temperament to hold through it.

Illustrative drawdown estimates from historical multi-asset ranges. Not a forecast. Past performance is not a reliable indicator of future results. Capital is at risk.

Why RG1 has no portfolio.

Some advice firms force a portfolio onto every risk grade. We don't.

RG1 is for investors who cannot tolerate any meaningful loss of capital — typically because they need the money soon, or because losing any of it would change their lifestyle.

For most people in this position, the right answer is not "an investment portfolio with very little risk in it." The right answer is cash savings accounts and short-dated government bonds, where the capital genuinely doesn't fluctuate.

Building a low-risk portfolio just to fill the slot would charge you discretionary fees for something cash can do better.

If you're RG1

Talk to your adviser about

Easy-access savings accounts

Notice savings & bonds

National Savings & Investments

Short-dated UK gilts

Not sure which risk grade
is right for you?

Only your financial adviser can determine your risk profile properly. Find one who uses Quorum portfolios.

Find an adviser → How it works