SummaryWe present a novel theoretical framework to explain the impact of rank positions on decision‐makers' choices between more risky and less risky options. We do so by providing an analysis of the motivational effects of ranks that progresses through three levels of specificity: the broad “motive” level, an intermediate “goal” level, and a low level at which tactical choices are addressed and where the complexity of rank‐driven choices considers a dynamic multiple goal perspective. In particular, we theorize on how more risky versus less risky options are chosen in light of the combined influence of (a) rank goals, (b) rank changes relative to those goals, and (c) other aligned or competing goals. Deriving from our theorizing and review of existing evidence from different fields studying various rank phenomena such as power, status, education, and performance, we articulate seven propositions that specify when rank‐ordered individuals will choose more risky or less risky options.