Examlex
An information system interacts with its environment by:
Market Risk
The risk of losses in investments caused by factors that affect the overall performance of the financial markets.
Characteristic Line
A line used in finance to illustrate the rate of return of an asset as a function of the return of the market as a whole.
Systematic Risk
The risk inherent to the entire market or market segment, not diversifiable through portfolio diversification.
Total Risk
The overall risk associated with an investment, encompassing both systematic and unsystematic risks.
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