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Massed Practice, or Cramming, the Night Before a Test Is

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Massed practice, or cramming, the night before a test is one of the most effective ways to study and learn new material.


Definitions:

Unsystematic Risk

The risk associated with a specific company or industry, which can be reduced through diversification.

Asset-specific Risk

Refers to the risk affecting an investment's value that is associated with the particular assets the investment owns, distinct from marketwide risks.

Specific Risk

The risk associated with a particular company or sector, which can be mitigated through diversification.

Market Risk Premium

Market Risk Premium is the additional return an investor expects from holding a risky market portfolio instead of risk-free assets.

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