How important is security of capital?

Investors whose primary objective is Security of Capital seek relative stability and preservation of capital. They often hold a high concentration of low-risk fixed-income or money market investments. These investors often desire minimal volatility and will typically accept lower returns as a trade-off for lower risk. In some, but not all instances they may only be investing their money for the short-term. The target account allocation for an investor with a primary security objective is at least 90% or higher in low risk security or income funds.