Find the Right Mutual Fund for Your Risk Profile to Achieve Your Financial Goals

07 October 2025

Investing is often referred to as the most effective way to achieve financial goals, both short-term and long-term. However, success in investing does not only depend on the product chosen, but also on understanding oneself as an investor. The key is the risk profile, which is an overview of how much risk an investor can accept and manage.

The Right Investment Starts with a Risk Profile

Everyone has a different risk tolerance when it comes to investing. Some are comfortable investing in low-risk instruments for capital security, but there are also many who are prepared to face market fluctuations for the potential of high returns. Therefore, there is no universal investment strategy that applies to everyone.

The key to successful investing is understanding your risk profile from the outset. Without this understanding, investors are prone to choosing products that are not in line with their goals.

Mutual funds are a flexible instrument. They allow every investor, whether conservative, moderate, or aggressive, to tailor their strategy to their character and financial goals.

What is a Risk Profile in Investing?

An investment risk profile is an overview of how much risk an investor is willing to accept when investing funds. Risk in this context can take the form of fluctuations in investment value, potential losses, and market uncertainty.

Why is Risk Profile Important?

Risk profile is not just a formality in the investment process, but a key guide to maintaining consistency.

There are three main reasons why investors should know their risk profile:

1. Helps Choose the Right Product

   Each investment product has different characteristics. By knowing their risk profile, investors can immediately narrow down their choices to relevant instruments.

2. Reduces Panic When the Market Fluctuates

   Financial markets do not always move upward. For those who are not prepared for risk, a decline in value can trigger panic and cause them to sell assets at the wrong time. A risk profile helps investors remain calm in the face of turmoil.

3. Maximizing Opportunities to Achieve Financial Goals

   Consistent investments, in line with investor characteristics, are more likely to achieve short, medium and long-term financial goals.

Types of Investor Risk Profiles

In general, investors can be categorized into three main risk profiles:

1. Conservative

   Conservative investors focus more on capital security. They tend to avoid big risks and are more comfortable with stable returns, even if the returns are relatively lower.

2. Moderate

   Moderate investors are willing to take limited risks in order to get higher returns. They still consider capital security, but also start looking for investment value growth.

3. Aggressive

   Aggressive investors are willing to take on significant risks and do not panic in the face of market fluctuations. Their goal is maximum long-term growth in value, even if it comes with a higher risk of loss

Factors Affecting Risk Profile

There are several key factors that shape each individual's risk profile:

• Age

  Younger investors are usually more flexible in taking risks because they have more time to recover from losses.

• Financial Goals

  Whether the funds are used for immediate, medium-term, or long-term needs.

• Investment Time Horizon

  The longer the time horizon, the greater the room for taking risks.

• Investment Experience

  Experienced investors tend to be more comfortable with volatility.

• Market Conditions

  Market sentiment can also influence investors' willingness to take risks.

Types of Mutual Funds Based on Risk Profile

Mutual funds offer a variety of options that can be tailored to your risk profile:

• Money Market Mutual Funds

  Suitable for conservative investors, focusing on short-term, low-risk instruments.

• Fixed Income Mutual Funds

  Suitable for moderate investors, investing in bonds with higher potential returns than money markets.

• Mixed Mutual Funds

  Suitable for moderate-aggressive investors, as they combine bonds and stocks.

• Equity Mutual Funds

  Suitable for aggressive investors who seek maximum long-term growth.

To help you determine the type of mutual fund that suits your profile, here is a table showing the relationship between risk profile, financial goals, investor characteristics, and the types of mutual funds you can choose from:

This table can be used as a starting point for choosing the type of mutual fund that best suits your character and financial goals.

By understanding your risk profile, you can choose the right mutual fund product, remain calm amid turmoil, and maintain consistency in achieving your financial goals.

The Ease of Selecting Mutual Fund Investments at Maybank Indonesia through the M2U ID App

After determining your risk profile, the next step is to choose a platform that makes it easy for you to invest. Through the M2U ID App, Maybank Indonesia's mobile banking service that can be accessed directly via smartphone, you can enjoy various investment conveniences with a range of advantages, such as:

• Various Mutual Fund Options

  There are various mutual fund options available, such as money market, fixed income, mixed, and stock mutual funds. You can choose the product that suits your risk profile and investment objectives.

• Investments Starting from IDR 100,000

  This allows anyone to start investing with an affordable amount.

• Automatic Regular Investment Feature

  You can schedule regular investments automatically by selecting the investment allocation amount and purchase frequency, making it easier to save and invest consistently.

• Switching Feature

  Allows you to switch from one mutual fund product to another mutual fund product managed by the same investment manager as needed.

• Can Be Sold Anytime

  Flexibly sell mutual fund assets via the M2U ID App.

All these conveniences make mutual fund investments at Maybank Indonesia suitable for all levels of investors, whether they are just starting out or already experienced.

Investing is not just about chasing returns, but about choosing instruments that suit your risk profile and financial goals. By understanding whether you are a conservative, moderate, or aggressive investor, your investment decisions will be more accurate, calm, and consistent.

Through the M2U ID App, you can easily start investing in mutual funds at your fingertips.