Examlex
As a consumer moves down a given indifference curve, his or her total utility will diminish.
Reward/Risk Ratio
A metric used to compare the potential returns of an investment to its potential losses.
Expected Return
The anticipated return on an investment, based on historical data or probabilistic estimates of future performance.
Nonsystematic Variance
The portion of an investment's variance that is due to factors specific to its issuer and not related to wider market movements.
Market Index
An indicator used to represent the performance of specific sectors or the market as a whole, often compiled from a set of selected stocks.
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