Examlex
Which of the following are the main advantages that FOLKLORE has over blogs and commonly found user communities?
Unique Risk
Nonmarket or firm-specific risk factors that can be eliminated by diversification. Also called firm-specific risk, nonsystematic risk, or diversifiable risk.
Diversification
Diversification is an investment strategy that aims to reduce risk by allocating investments among various financial instruments, industries, geographic locations, or other categories.
Portfolio
A collection of investments, such as stocks, bonds, commodities, and real estate, held by an individual or an institution.
Index Model
A statistical model to estimate the returns of a stock based on the returns of a broader market index.
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