Examlex
The part of the brain that helps process hearing and gives meaning to words is the
Total Risk
The complete range of risk associated with an investment, including both systematic and unsystematic risk.
Risk Premium
The additional return an investor demands for taking on a higher risk compared to a risk-free asset, indicating the compensation for bearing extra risk.
Principle of Diversification
A risk management strategy that mixes a wide variety of investments within a portfolio to minimize risks.
Efficient Market
A financial market theory stating prices fully reflect all available information, making it impossible to consistently achieve higher returns.
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