Test your risk intelligence - Psychology and Money Management | futures io social day trading
futures io futures trading

Test your risk intelligence
Updated: Views / Replies:2,648 / 10
Created: by trendisyourfriend Attachments:0

Welcome to futures io.

(If you already have an account, login at the top of the page)

futures io is the largest futures trading community on the planet, with over 100,000 members. At futures io, our goal has always been and always will be to create a friendly, positive, forward-thinking community where members can openly share and discuss everything the world of trading has to offer. The community is one of the friendliest you will find on any subject, with members going out of their way to help others. Some of the primary differences between futures io and other trading sites revolve around the standards of our community. Those standards include a code of conduct for our members, as well as extremely high standards that govern which partners we do business with, and which products or services we recommend to our members.

At futures io, our focus is on quality education. No hype, gimmicks, or secret sauce. The truth is: trading is hard. To succeed, you need to surround yourself with the right support system, educational content, and trading mentors Ė all of which you can find on futures io, utilizing our social trading environment.

With futures io, you can find honest trading reviews on brokers, trading rooms, indicator packages, trading strategies, and much more. Our trading review process is highly moderated to ensure that only genuine users are allowed, so you donít need to worry about fake reviews.

We are fundamentally different than most other trading sites:
  • We are here to help. Just let us know what you need.
  • We work extremely hard to keep things positive in our community.
  • We do not tolerate rude behavior, trolling, or vendors advertising in posts.
  • We firmly believe in and encourage sharing. The holy grail is within you, we can help you find it.
  • We expect our members to participate and become a part of the community. Help yourself by helping others.

You'll need to register in order to view the content of the threads and start contributing to our community.  It's free and simple.

-- Big Mike, Site Administrator

Thread Tools Search this Thread

Test your risk intelligence

  #1 (permalink)
Trading Experience: Intermediate
Platform: NinjaTrader wt Rancho Dinero's profiling tools
Broker/Data: AMP/CQG
Favorite Futures: ES, NQ, YM
trendisyourfriend's Avatar
Posts: 3,859 since Oct 2009
Thanks: 3,445 given, 4,899 received

Test your risk intelligence

AN EXPERT gambler is likely to enjoy numbers, be a good decision-maker who is adept at judging risk and unlikely to be anyway arrogant, according to a UCC academic.

Dr Dylan Evans is a behavioural scientist at the Department of Medicine and is fascinated with risk-taking. In his work, he is attempting to gauge what motivates people to take risk and what makes certain people particularly proficient at risk-taking.

Dr Evans believes that successful gamblers – "those rare people who manage consistently to profit by making informed bets, judge risk in a different way to most other men and women" – display a group of traits that aren’t found in other people.

As part of his latest round of research, he is seeking to establish whether risk intelligence can be taught so that people can learn to take better decisions.

In the first phase of this project, he looked at the "consistent patterns of behaviour" that are found in expert gamblers. This group, he found, were able to set emotion aside when making calculated gambling decisions.

"Unlike leisure gamblers and problem gamblers, the expert gamblers did not get a great kick out of winning – one expert said it was more like the pleasure of a slow burning cigar, whereas less successful gamblers got a real buzz. However, the expert gamblers found losing much more painful. Last, but not least, the expert gamblers knew their weaknesses, unlike less successful gamblers who tended to be overconfident," he said.

As part of the second phase of this project, he has developed a test for evaluating risk intelligence. He wants to compare their risk intelligence with that of the general population and is asking the general public to answer 50 general knowledge questions on his website "There is a twist to the questions. Not only do you have to decide whether a statement is true or false, you also have to judge how certain you are that you know, or don’t know, the answer," he said.

Dr Evans believes expert gamblers are very aware of their limitations – so they don’t get cocky.
"Gambling is to decision-making what Galileo’s inclined plane was to physics. It’s a toy world that allows you to uncover fundamental principles."

Projection Point - Risk Intelligence Testing

Reply With Quote
The following 6 users say Thank You to trendisyourfriend for this post:
  #2 (permalink)
Quick Summary
Quick Summary Post

Quick Summary is created and edited by users like you... Add FAQ's, Links and other Relevant Information by clicking the edit button in the lower right hand corner of this message.

  #3 (permalink)
Administrator: Retired Backtester
Rennes France
Trading Experience: Advanced
Platform: NinjaTrader
Broker/Data: IB/Kinetick
Favorite Futures: Futures
sam028's Avatar
Posts: 3,598 since Jun 2009
Thanks: 3,750 given, 4,388 received

The test is a bit old, some questions have wrong answers (the russian pres is now Medvedev, not Putin)

Success requires no deodorant! (Sun Tzu)
Follow me on Twitter Reply With Quote
  #4 (permalink)
Posts: 187 since Dec 2010

"Thank you for participating in our study!

The RQ score ranges from 0 (low RQ) to 100 (high RQ). Your RQ score is 99. Such a score is very high."

Answered 50% straight down the line. So to have risk intelligence is to be totally unsure of everything.
Complete nonsense test.

Reply With Quote
  #5 (permalink)
Victoria, Australia
Trading Experience: Intermediate
Platform: NT, MT4
Broker/Data: NT
Favorite Futures: Dax
Linds's Avatar
Posts: 377 since Jul 2010
Thanks: 697 given, 445 received

Yes you can score highly taking that approach but the concept it is trying to measure is whether your knowledge level and your awareness of your knowledge level actually match. If the test is approached as if you didnt know how to get a high score....then I found it an interesting concept. I can think of a few people who grandstand all sorts of opinions and it seems the opinions and their telling are more important than if they are right or not - thats dangerous attitude for a trader thats for sure.

Visit my futures io Trade Journal Reply With Quote
  #6 (permalink)
Springfield,Missouri, USA
Trading Experience: Advanced
Platform: NinjaTrader (It's a love/hate relationship)
Favorite Futures: CL, TF, 6E
Slipknot511's Avatar
Posts: 176 since May 2010
Thanks: 60 given, 317 received

sam028 View Post
The test is a bit old, some questions have wrong answers (the russian pres is now Medvedev, not Putin)

Yes, and the test showed that the correct answer was false when I took it.

Reply With Quote
  #7 (permalink)
Trading Experience: None
Platform: MC & Ninja mainly
Posts: 130 since Jan 2010
Thanks: 3 given, 47 received

So I presume that in the context of this test "risk intelligence" is avoiding risk at all costs? If answering all 'don't knows' gives 99%. Presumable answering definitely true or definitely false or don't know would give a similar result or better? So high score = no tolerance to risk?

Reply With Quote
  #8 (permalink)
Posts: 187 since Dec 2010

Linds View Post
If the test is approached as if you didnt know how to get a high score....then I found it an interesting concept. .

It is an interesting concept but the test isn't measuring even what it is trying to measure.
Seems like it needs to have a preprocessing part with yes/no questions to actually measure what you do know to some degree before asking you on your certainty of what you know.
The Putin question does not have a right or wrong answer because clearly to answer anything other than a coin flip since it depends on the age of the test is a wrong answer.

Fortunately, we already have the best risk intelligence test ever devised that comes when people actually bet and the score is kept track of with money.

Reply With Quote
  #9 (permalink)
Battle Ground, WA
Trading Experience: Master
Platform: Multicharts DT & MBT Desktop Pro
Broker/Data: MB Trading
Posts: 75 since Feb 2011
Thanks: 10 given, 35 received

dutchbookmaker View Post
Fortunately, we already have the best risk intelligence test ever devised that comes when people actually bet and the score is kept track of with money.

Yup, the market's just one big, extremely efficient, risk intelligence test...

Visit my futures io Trade Journal Reply With Quote
  #10 (permalink)
United Kingdom
Trading Experience: Intermediate
Platform: Multicharts
Favorite Futures: Dow
PositiveDeviant's Avatar
Posts: 587 since Nov 2010
Thanks: 257 given, 254 received

Risk Intelligence - Test your Risk Quotient

(From Projectionpoint.com)

About the Risk Intelligence Test

Risk Intelligence Quotient (RQ) is a measure of a person's ability to estimate probabilities accurately. People with high risk intelligence tend to make better predictions than those with low RQ.

The test consists of 50 statements which may be true or false. Your task is to say how likely you think it is that each statement is true:
  • if you are absolutely sure that a statement is true, you should click on the button marked 100%
  • if you are completely convinced that a statement is false, you should click on the button marked 0%
  • if you have no idea at all whether it is true or false, you should click on the button marked 50%
  • if you are fairly sure that it is true, but you aren’t completely sure, you should click on 60%, or 70%, or 80%, or 90%, depending on how sure you are.
  • if you are fairly sure that it is false, but you aren’t completely sure, you should click on 40%, or 30%, or 20%, or 10%, depending on how sure you are.
Make sure you're sitting comfortably with no distractions. The test will take about five minutes to complete. If you wish to know more about risk intelligence, then continue reading towards the bottom of the page.
This test is rather unusual in that you can score very highly even if you don’t know much. That’s because this test measures self-knowledge rather than factual knowledge.

It rewards you for gauging your own level of uncertainty accurately, rather than for knowing a bunch of facts.

Risk intelligence really comes into its own when you are neither completely certain nor completely uncertain – in other words, when you give estimates from 10% to 40% or between 60% and 90% (assuming that we only allow ten percent increments in the estimates). This is the twilight zone between the stuff you really know and the stuff about which you don’t have a clue.

Think of your mind as a light bulb shining in a dark room. Those objects which are fully illuminated by the light from the bulb are the things you know for sure. The objects which are still shrouded in darkness are the things about which you know nothing. Between the light and the darkness, however, lies a grey area in which the level of illumination gradually shades away. In this “event horizon”, the objects are not fully illuminated, but neither are they completely invisible. These are the things which you don’t know for sure, but which you have an inkling. Gauging exactly how much you know you about these things is the basis of risk intelligence.

Take the test

My result;

Please register on futures.io to view futures trading content such as post attachment(s), image(s), and screenshot(s).

"The primary thing required to obtain what you want from life, is simply the will to pursue it, and the faith to believe it is possible." - Author Unknown

"The ability to maintain discipline and stick to the rules is the hallmark of the experienced successful trader" - Curtis Faith
Visit my futures io Trade Journal Reply With Quote


futures io > > > Test your risk intelligence

Thread Tools Search this Thread
Search this Thread:

Advanced Search

Upcoming Webinars and Events (4:30PM ET unless noted)

futures io is celebrating 10-years w/ over $18,000 in prizes!

Right now

$250 Amazon Gift Cards with our "Thanks Contest" challenge!

Right now

The Best of Both Worlds: Automated & Discretionary Trading w/SharkIndicators

Jan 23

Similar Threads
Thread Thread Starter Forum Replies Last Post
Artificial Intelligence (AI) inside NinjaTrader strategies Big Mike NinjaTrader Programming 32 August 26th, 2014 12:00 AM
back test sam028 Terms (Glossary) 0 June 28th, 2010 07:20 PM

All times are GMT -4. The time now is 01:19 PM. (this page content is cached, log in for real-time version)

Copyright © 2020 by futures io, s.a., Av Ricardo J. Alfaro, Century Tower, Panama, +507 833-9432, info@futures.io
All information is for educational use only and is not investment advice.
There is a substantial risk of loss in trading commodity futures, stocks, options and foreign exchange products. Past performance is not indicative of future results.
no new posts