Diversity in Workgroups Can Create High ______________ Potential and Take

question 173

Short Answer

Diversity in workgroups can create high ______________ potential and take longer to become ______________.

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Definitions:

Systematic Risk

The overall market risk that cannot be diversified away by holding a wide range of asset classes.

Market Risk

The risk of losses in investments due to factors that affect the overall performance of the financial markets.

Nondiversifiable Risk

Risk factors common to the whole economy; also called market risk or systematic risk.

Diversifiable Risk

The risk associated with individual investments that can be reduced through diversification by investing in a variety of assets.