Risk is not a label game
Fund risk ratings aid communication—they are not insurance. Volatility, liquidity, currency, concentration and derivatives can change the lived experience. Suitability must match the option, not just the product name.
Past performance
Past performance is not a guide to future results—this is a hard communication boundary for ILAS. Exams and conduct rules watch for misleading upside and missing downside balance.
Study tips
- Prepare a 30-second explanation of a market drawdown for a client