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Which Type of Commitment Is Based on Feelings of Obligation

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Which type of commitment is based on feelings of obligation to the organization?


Definitions:

Risk-Averse Investors

Investors who prioritize minimizing risk over maximizing returns, often choosing safer, lower-yield investments.

Uncertainty

The state of having limited knowledge where it is impossible to exactly describe the existing state, a future outcome, or more than one possible outcome.

Negatively Correlated

A relationship between two variables in which one variable increases as the other decreases.

Portfolio Risk

The degree of uncertainty of returns on a portfolio due to the possibility of changes in the values of the holdings.

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