Examlex
Identify/define and explain the significance of the following: archons.
Standard Deviation
A statistical measure of the dispersion or variability within a data set, often used to quantify the risk associated with a variable’s average value.
Diversification
Diversification is an investment strategy that involves spreading investments across various financial instruments, industries, or other categories to reduce risk.
Risk Premium
The extra return above the risk-free rate that investors demand as compensation for the risk of an investment.
Systematic Risk
The risk inherent to the entire market or market segment, unavoidable through diversification.
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