My view has always been not taking risks is actually a risk itself.

That's another way to express that to not fail is a way to fail. Your example is very good, since there are many such people, practically paralyzed by fear. Some do not understand they are losing money in the bank, but others do, but are so afraid of the alternatives that they prefer to lose money to inflation than to take risk with a composite index ETF. Lack of financial literacy has a big role in these decisions too. They are afraid of what they don't understand.