Riskometer
A dial on every mutual fund that shows how risky the scheme is, on six levels from Low to Very High.
The riskometer is a simple gauge SEBI requires on every scheme, so you can see at a glance how much risk it carries. It has six levels: Low, Low to Moderate, Moderate, Moderately High, High, and Very High. It is reviewed regularly and can change as the fund’s holdings change. It tells you the kind of ride to expect, not the return you will get.
Questions people ask
What is the riskometer?
A simple gauge SEBI requires on every scheme so you can see at a glance how much risk it carries, on six levels from Low to Very High.
Does a low riskometer mean good returns?
No. It tells you the kind of ride to expect, not the return you will get. It can also change as the fund's holdings change.
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