--- title: "Meaning & Key Takeaway of: Here’s the key to understanding risk…" description: "\"“Here’s the key to understanding risk: it’s largely a matter of opinion. It’s hard to be definitive about risk, even after the fact. You”\" — Howard Marks" image: "https://sms4smile.com/quotes/i/43e/howard-marks-18029_risk_here-s-the-key-to-understanding-risk-it_2307063.jpg" --- # Here’s the key to understanding risk: it’s largely a… ![“Here’s the key to understanding risk: it’s largely a matter of opinion. It’s hard to be definitive about risk, even after the fact. You” quote by Howard Marks](https://sms4smile.com/quotes/i/43e/howard-marks-18029_risk_here-s-the-key-to-understanding-risk-it_2307063.jpg) [Download](https://sms4smile.com/quotes/i/43e/howard-marks-18029_risk_here-s-the-key-to-understanding-risk-it_2307063.jpg) [Open image](https://sms4smile.com/quotes/i/43e/howard-marks-18029_risk_here-s-the-key-to-understanding-risk-it_2307063.jpg) > ““Here’s the key to understanding risk: it’s largely a matter of opinion. It’s hard to be definitive about risk, even after the fact. You”” [Howard Marks](https://sms4smile.com/quotes/author/howard-marks/) ## About This Quote This interpretation was drafted with AI assistance. It is one reading of the quote, not the author's own explanation. Risk perception varies with personal bias; certainty is elusive even after outcomes are known. **In simple terms:** Risk is often a matter of opinion, not fact. Key Takeaway Acknowledge bias when evaluating risk. Themes finance uncertainty decisionmaking bias opinion Mood thoughtful pragmatic Type advisory reflective When to use this quote - investment decisions - policy planning - personal budgeting Key Concepts behavioral finance probability risk assessment Questions to Reflect On - What assumptions are you making about a risk? - How can you balance data with intuition? A Different Perspective Risk assessments can be paralyzed by over‑analysis. ★ ★ ★ ★ ★ No ratings yet [Risk](https://sms4smile.com/quotes/about/risk/) ## Related quotes > [The willingness to take risk is largely a function of wealth.](https://sms4smile.com/quotes/edward-conard/the-willingness-to-take-risk-is-largely-a-function-of-wealth/) [Edward Conard](https://sms4smile.com/quotes/author/edward-conard/) > [One of the things that's so interesting when talking to minority founders specifically is that there is really a knowledge gap in understanding what…](https://sms4smile.com/quotes/michael-seibel/one-of-the-things-that-s-so-interesting-when-talking-to-minority/) [Michael Seibel](https://sms4smile.com/quotes/author/michael-seibel/) > [I think what we need is better understanding of how to do risk analysis of a CDO, but that they still can perform a…](https://sms4smile.com/quotes/robert-f-engle/i-think-what-we-need-is-better-understanding-of-how-to-do-risk/) [Robert F. Engle](https://sms4smile.com/quotes/author/robert-f-engle/) > [The only risk is not taking the risk. You've got to take that step.](https://sms4smile.com/quotes/jaycie-phelps/the-only-risk-is-not-taking-the-risk-you-ve-got-to-take-that-step/) Jaycie Phelps > [The risk of developing carcinoma of the lung increases steadily as the amount smoked increases. If the risk among non-smokers is taken as unity…](https://sms4smile.com/quotes/richard-doll/the-risk-of-developing-carcinoma-of-the-lung-increases-steadily-as/) Richard Doll > [Climate change poses clear, catastrophic threats. We may not agree on the extent, but we certainly can't afford the risk of inaction.](https://sms4smile.com/quotes/rupert-murdoch/climate-change-poses-clear-catastrophic-threats-we-may-not-agree-on/) [Rupert Murdoch](https://sms4smile.com/quotes/author/rupert-murdoch/) > [Decision is a risk rooted in the courage of being free.](https://sms4smile.com/quotes/paul-tillich/decision-is-a-risk-rooted-in-the-courage-of-being-free/) [Paul Tillich](https://sms4smile.com/quotes/author/paul-tillich/) > [There are times when we can feel destiny close around us like a fist around a doorknob. Sure, we can resist. But a knob…](https://sms4smile.com/quotes/tom-robbins/there-are-times-when-we-can-feel-destiny-close-around-us-like-a-fist/) [Tom Robbins](https://sms4smile.com/quotes/author/tom-robbins/) > [“There is no growth without risk. There is always something to be gained from any experience. It is up to us to interpret our…](https://sms4smile.com/quotes/truth-devour/there-is-no-growth-without-risk-there-is-always-something-to-be/) Truth Devour > [As an adventurer...I try to protect against the downside. I make sure I have covered as many eventualities as I can. In the end,…](https://sms4smile.com/quotes/richard-branson/as-an-adventurer-i-try-to-protect-against-the-downside-i-make-sure-i/) [Richard Branson](https://sms4smile.com/quotes/author/richard-branson/) > [I knew I really had to put down a good run. I played it safe, and took risks when I could, and I came…](https://sms4smile.com/quotes/julia-mancuso/i-knew-i-really-had-to-put-down-a-good-run-i-played-it-safe-and-took/) [Julia Mancuso](https://sms4smile.com/quotes/author/julia-mancuso/) > [To refer even in passing to unpublished or struggling authors and their problems is to put oneself at some risk, so I will say…](https://sms4smile.com/quotes/kingsley-amis/to-refer-even-in-passing-to-unpublished-or-struggling-authors-and/) [Kingsley Amis](https://sms4smile.com/quotes/author/kingsley-amis/) > [When you stop a dictator, there are always risks. But there are greater risks in not stopping a dictator.](https://sms4smile.com/quotes/margaret-thatcher/when-you-stop-a-dictator-there-are-always-risks-but-there-are-greater/) [Margaret Thatcher](https://sms4smile.com/quotes/author/margaret-thatcher/) > [To believe in love, to be ready to give up anything for it, to be willing to risk your life for it, is the…](https://sms4smile.com/quotes/leonardo-dicaprio/to-believe-in-love-to-be-ready-to-give-up-anything-for-it-to-be/) [Leonardo DiCaprio](https://sms4smile.com/quotes/author/leonardo-dicaprio/) > [Against his own will, almost, Will felt himself understanding; he would have done anything, he thought, told any lie, taken any risk, to make…](https://sms4smile.com/quotes/cassandra-clare/against-his-own-will-almost-will-felt-himself-understanding-he-would/) [Cassandra Clare](https://sms4smile.com/quotes/author/cassandra-clare/) ## More by Howard Marks > [“The process of intelligently building a portfolio consists of buying the best investments, making room for them by selling lesser ones, and staying clear…](https://sms4smile.com/quotes/howard-marks/the-process-of-intelligently-building-a-portfolio-consists-of-buying/) [Howard Marks](https://sms4smile.com/quotes/author/howard-marks/) > [“If one is approached with a deal predicated on cycles having ceased to occur, remember that invariably that’s a losing bet.”](https://sms4smile.com/quotes/howard-marks/if-one-is-approached-with-a-deal-predicated-on-cycles-having-ceased/) [Howard Marks](https://sms4smile.com/quotes/author/howard-marks/) > [“The last four and a half years have been carefree, halcyon times for investors. That doesn’t mean it’ll stay that way. I’ll give Warren…](https://sms4smile.com/quotes/howard-marks/the-last-four-and-a-half-years-have-been-carefree-halcyon-times-for/) [Howard Marks](https://sms4smile.com/quotes/author/howard-marks/) > [“•Scepticism and pessimism aren’t synonymous. Scepticism calls for pessimism when optimism is excessive. But it also calls for optimism when pessimism is excessive.”](https://sms4smile.com/quotes/howard-marks/scepticism-and-pessimism-aren-t-synonymous-scepticism-calls-for/) [Howard Marks](https://sms4smile.com/quotes/author/howard-marks/) > [“Risk arises as investor behaviour alters the market. Investors bid up assets, accelerating into the present appreciation that otherwise would have occurred in the…](https://sms4smile.com/quotes/howard-marks/risk-arises-as-investor-behaviour-alters-the-market-investors-bid-up/) [Howard Marks](https://sms4smile.com/quotes/author/howard-marks/) > [“Most people view risk taking primarily as a way to make money. Bearing higher risk generally produces higher returns...But it can’t always work that…](https://sms4smile.com/quotes/howard-marks/most-people-view-risk-taking-primarily-as-a-way-to-make-money-bearing/) [Howard Marks](https://sms4smile.com/quotes/author/howard-marks/) > [“HOWARD MARKS: Fear of looking wrong: Not only should the lonely and uncomfortable position be tolerated, it should be celebrated.”](https://sms4smile.com/quotes/howard-marks/howard-marks-fear-of-looking-wrong-not-only-should-the-lonely-and/) [Howard Marks](https://sms4smile.com/quotes/author/howard-marks/) > [“In good years, defensive investors have to be content with the knowledge that their gains, although perhaps less than maximal, were achieved with risk…](https://sms4smile.com/quotes/howard-marks/in-good-years-defensive-investors-have-to-be-content-with-the/) [Howard Marks](https://sms4smile.com/quotes/author/howard-marks/) > [“Everything you needed to know in the years leading up to the crash could be discerned through awareness of what was going on in…](https://sms4smile.com/quotes/howard-marks/everything-you-needed-to-know-in-the-years-leading-up-to-the-crash/) [Howard Marks](https://sms4smile.com/quotes/author/howard-marks/) > [“An accurate opinion on valuation, loosely held, will be of limited help. An incorrect opinion on valuation, strongly held, is far worse. This one…](https://sms4smile.com/quotes/howard-marks/an-accurate-opinion-on-valuation-loosely-held-will-be-of-limited-help/) [Howard Marks](https://sms4smile.com/quotes/author/howard-marks/) > [“There aren’t always great things to do, and sometimes we maximize our contribution by being discerning and relatively inactive. Patient opportunism – waiting for…](https://sms4smile.com/quotes/howard-marks/there-aren-t-always-great-things-to-do-and-sometimes-we-maximize-our/) [Howard Marks](https://sms4smile.com/quotes/author/howard-marks/) > [“Forgetfulness is the catalytic germ of spontaneous creativity”](https://sms4smile.com/quotes/howard-marks/forgetfulness-is-the-catalytic-germ-of-spontaneous-creativity/) [Howard marks](https://sms4smile.com/quotes/author/howard-marks/) > [“little known and not fully understood; fundamentally questionable on the surface; controversial, unseemly or scary; deemed inappropriate for “respectable” portfolios; unappreciated, unpopular and unloved;…](https://sms4smile.com/quotes/howard-marks/little-known-and-not-fully-understood-fundamentally-questionable-on/) [Howard Marks](https://sms4smile.com/quotes/author/howard-marks/) > [“Once in a while, however, the future turns out to be very different from the past. It’s at these times that accurate forecasts would…](https://sms4smile.com/quotes/howard-marks/once-in-a-while-however-the-future-turns-out-to-be-very-different/) [Howard Marks](https://sms4smile.com/quotes/author/howard-marks/) > [“If everyone likes it, it's probably because it has been doing well. Most people seem to think that outstanding performance to dates presages outstanding…](https://sms4smile.com/quotes/howard-marks/if-everyone-likes-it-it-s-probably-because-it-has-been-doing-well/) [Howard Marks](https://sms4smile.com/quotes/author/howard-marks/) [Explore all 34 Howard Marks quotes ](https://sms4smile.com/quotes/author/howard-marks/) ## More Risk quotes > [Against his own will, almost, Will felt himself understanding; he would have done anything, he thought, told any lie, taken any risk, to make…](https://sms4smile.com/quotes/cassandra-clare/against-his-own-will-almost-will-felt-himself-understanding-he-would/) [Cassandra Clare](https://sms4smile.com/quotes/author/cassandra-clare/) > [To believe in love, to be ready to give up anything for it, to be willing to risk your life for it, is the…](https://sms4smile.com/quotes/leonardo-dicaprio/to-believe-in-love-to-be-ready-to-give-up-anything-for-it-to-be/) [Leonardo DiCaprio](https://sms4smile.com/quotes/author/leonardo-dicaprio/) > [When you stop a dictator, there are always risks. But there are greater risks in not stopping a dictator.](https://sms4smile.com/quotes/margaret-thatcher/when-you-stop-a-dictator-there-are-always-risks-but-there-are-greater/) [Margaret Thatcher](https://sms4smile.com/quotes/author/margaret-thatcher/) > [To refer even in passing to unpublished or struggling authors and their problems is to put oneself at some risk, so I will say…](https://sms4smile.com/quotes/kingsley-amis/to-refer-even-in-passing-to-unpublished-or-struggling-authors-and/) [Kingsley Amis](https://sms4smile.com/quotes/author/kingsley-amis/) > [I knew I really had to put down a good run. I played it safe, and took risks when I could, and I came…](https://sms4smile.com/quotes/julia-mancuso/i-knew-i-really-had-to-put-down-a-good-run-i-played-it-safe-and-took/) [Julia Mancuso](https://sms4smile.com/quotes/author/julia-mancuso/) > [As an adventurer...I try to protect against the downside. I make sure I have covered as many eventualities as I can. In the end,…](https://sms4smile.com/quotes/richard-branson/as-an-adventurer-i-try-to-protect-against-the-downside-i-make-sure-i/) [Richard Branson](https://sms4smile.com/quotes/author/richard-branson/) > [“There is no growth without risk. There is always something to be gained from any experience. It is up to us to interpret our…](https://sms4smile.com/quotes/truth-devour/there-is-no-growth-without-risk-there-is-always-something-to-be/) Truth Devour > [There are times when we can feel destiny close around us like a fist around a doorknob. Sure, we can resist. But a knob…](https://sms4smile.com/quotes/tom-robbins/there-are-times-when-we-can-feel-destiny-close-around-us-like-a-fist/) [Tom Robbins](https://sms4smile.com/quotes/author/tom-robbins/) > [Decision is a risk rooted in the courage of being free.](https://sms4smile.com/quotes/paul-tillich/decision-is-a-risk-rooted-in-the-courage-of-being-free/) [Paul Tillich](https://sms4smile.com/quotes/author/paul-tillich/) > [Climate change poses clear, catastrophic threats. We may not agree on the extent, but we certainly can't afford the risk of inaction.](https://sms4smile.com/quotes/rupert-murdoch/climate-change-poses-clear-catastrophic-threats-we-may-not-agree-on/) [Rupert Murdoch](https://sms4smile.com/quotes/author/rupert-murdoch/) > [The risk of developing carcinoma of the lung increases steadily as the amount smoked increases. If the risk among non-smokers is taken as unity…](https://sms4smile.com/quotes/richard-doll/the-risk-of-developing-carcinoma-of-the-lung-increases-steadily-as/) Richard Doll > [The only risk is not taking the risk. You've got to take that step.](https://sms4smile.com/quotes/jaycie-phelps/the-only-risk-is-not-taking-the-risk-you-ve-got-to-take-that-step/) Jaycie Phelps > [You know what happens when you don't take a risk? Nothing.](https://sms4smile.com/quotes/mel-gibson/you-know-what-happens-when-you-don-t-take-a-risk-nothing/) [Mel Gibson](https://sms4smile.com/quotes/author/mel-gibson/) > [“Fear is not the end. But only a transition.”](https://sms4smile.com/quotes/dragos-bratasanu-ph-d/fear-is-not-the-end-but-only-a-transition/) [Dragos Bratasanu, Ph.D](https://sms4smile.com/quotes/author/dragos-bratasanu-ph-d/) > [Well look, CIA is an agency that has to collect intelligence, do operations. We have to take risks and it's important that we take…](https://sms4smile.com/quotes/leon-panetta/well-look-cia-is-an-agency-that-has-to-collect-intelligence-do/) [Leon Panetta](https://sms4smile.com/quotes/author/leon-panetta/) [Browse all 7,233 Risk quotes ](https://sms4smile.com/quotes/about/risk/) ```json { "@context": "https://schema.org", "@graph": [ { "@type": "Quotation", "text": "“Here’s the key to understanding risk: it’s largely a matter of opinion. It’s hard to be definitive about risk, even after the fact. You”", "creator": { "@type": "Person", "name": "Howard Marks" }, "isPartOf": { "@id": "https://sms4smile.com/quotes/#website" }, "url": "https://sms4smile.com/quotes/howard-marks/here-s-the-key-to-understanding-risk-it-s-largely-a-matter-of-opinion/", "about": { "@type": "Thing", "name": "Risk" }, "@id": "https://sms4smile.com/quotes/howard-marks/here-s-the-key-to-understanding-risk-it-s-largely-a-matter-of-opinion/#quotation", "image": { "@type": "ImageObject", "@id": "https://sms4smile.com/quotes/i/43e/howard-marks-18029_risk_here-s-the-key-to-understanding-risk-it_2307063.jpg", "contentUrl": "https://sms4smile.com/quotes/i/43e/howard-marks-18029_risk_here-s-the-key-to-understanding-risk-it_2307063.jpg", "url": "https://sms4smile.com/quotes/i/43e/howard-marks-18029_risk_here-s-the-key-to-understanding-risk-it_2307063.jpg", "width": 1080, "height": 1080, "caption": "“Here’s the key to understanding risk: it’s largely a matter of opinion. It’s hard to be definitive about…” — Howard Marks", "creditText": "SMS4Smile Quotes", "creator": { "@id": "https://sms4smile.com/quotes/#organization" } } }, { "@type": "BreadcrumbList", "itemListElement": [ { "@type": "ListItem", "position": 1, "name": "Home", "item": "https://sms4smile.com/" }, { "@type": "ListItem", "position": 2, "name": "Quotes", "item": "https://sms4smile.com/quotes/" }, { "@type": "ListItem", "position": 3, "name": "Howard Marks", "item": "https://sms4smile.com/quotes/author/howard-marks/" }, { "@type": "ListItem", "position": 4, "name": "“Here’s the key to understanding risk:...", "item": "https://sms4smile.com/quotes/howard-marks/here-s-the-key-to-understanding-risk-it-s-largely-a-matter-of-opinion/" } ], "@id": "https://sms4smile.com/quotes/howard-marks/here-s-the-key-to-understanding-risk-it-s-largely-a-matter-of-opinion/#breadcrumb" }, { "@type": "WebSite", "@id": "https://sms4smile.com/quotes/#website", "name": "SMS4Smile Quotes", "url": "https://sms4smile.com/quotes/", "publisher": { "@id": "https://sms4smile.com/quotes/#organization" } }, { "@type": "Organization", "@id": "https://sms4smile.com/quotes/#organization", "name": "SMS4Smile Quotes", "url": "https://sms4smile.com/quotes/", "logo": { "@type": "ImageObject", "url": "https://sms4smile.com/quotes/wp-content/themes/sq/assets/icons/icon-512.png", "width": 512, "height": 512 } } ] } ```