Renditepräferenzen
Renditepräferenzen, also known as return preferences, refers to an investor's or individual's attitude towards risk and return. It describes how an investor weighs the potential for higher returns against the possibility of greater risk. Generally, individuals can be categorized into three types based on their Renditepräferenzen: risk-averse, risk-neutral, and risk-seeking.
A risk-averse individual prefers lower returns with known risks over higher returns with unknown risks. They
A risk-neutral individual is indifferent to the level of risk associated with an investment, as long as
A risk-seeking individual prefers investments with higher risks, even if the expected return is lower, because
Renditepräferenzen are a crucial factor in financial decision-making, influencing investment choices, insurance purchases, and even career