Lumi · Risk Quiz → Portfolio Engine

How one quiz turns a person into a portfolio

A client answers 30 questions. The engine scores them, picks the right strategy family, then applies real-world guardrails — liquidity, education, and retirement catch-up. Here it is, run against 25 lifelike clients.

The pipeline

Five steps, every time

Nothing is hand-picked. The same path runs for every client, so the recommendation is explainable and repeatable.

1

Measure

The 30 answers roll up into four scores, 0–100: Risk Capacity (can they afford risk), Risk Tolerance (their comfort with it), Investment Knowledge (how much they already know), and Investment Complexity (how many moving parts they want). The headline number is the average of the four.

2

Pick the family

Preference questions vote for a style — simple, diversified, momentum, or income. The winning vote chooses one of four families: LumiCore, LumiPro, LumiPulse, or LumiIncome.

3

Check who's allowed in

Eligibility gates decide which families a client can actually hold. The active momentum family (LumiPulse) has a high bar — real knowledge and experience — so for most people it's held back.

4

Set the dial

Within the family, the risk scores set the variant: conservative, moderate, or aggressive.

5

Apply the guardrails

Finally, real-world overrides adjust the answer. These are the judgment calls a good advisor would make:

liquidity
No cash cushion and under 6 months of spending in liquid assets → dial down to conservative. Either one counts as a buffer: a cash emergency fund, or a portfolio big enough to self-insure (you can raise cash in a day, and years of cash just erode to inflation).
education
Low knowledge → flagged for coaching and momentum held back, but not dumbed down to the simplest plan. They still get the diversified and income families.
catch-up
Near retirement and underfunded (below 90% funded) → step up to a more diversified mix to help close the gap — after liquidity is handled.
goal split
A big near-term goal → split money into a goal sleeve and a growth sleeve (e.g. 85 / 15).
The line-up

Four families, one core

Every family is built on the same diversified core. They differ in what gets added on top — measured by the Diversification score (0–100): how many evenly-weighted holdings each really spreads across, from the live optimizer weights.

Worked examples

Four clients, and the "why"

The bars are the four component scores. The notes are the actual decision trail the engine produced.

Every client

All 25, scored live

Real output from the scoring engine. Filter by family to see the pattern.

ClientFamilyVariantScore FundedFlags
📚 education flagged for coaching 🔒 liquidity capped conservative ↑ catch-up underfunded, stepped up ◑ goal split dual-sleeve P3 capped momentum held back
The spread

Where everyone landed

A healthy distribution — most clients cluster in moderate, with conservative and aggressive as the tails.