Examlex
Describe the role of social comparison processes in influencing subjective well-being.
Risk Premium
The additional return an investor demands for taking on a higher risk compared to a risk-free asset, indicating the compensation for bearing extra risk.
Principle of Diversification
A risk management strategy that mixes a wide variety of investments within a portfolio to minimize risks.
Efficient Market
A financial market theory stating prices fully reflect all available information, making it impossible to consistently achieve higher returns.
Concentrating Investment
Allocating a significant portion of an investment portfolio to a single investment or a small group of investments, increasing potential risk and return.
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