What is a risk?

Quesiton : What is a risk?

Answer: Unforeseeable risk

What is a risk? There is a risk of liver damage with this medication . Wearing a seatbelt greatly reduces the risk of injury or death in a car accident. We feel that this product presents a significant risk to public health. What is ' Risk . Risk includes the possibility of losing some or all of the original investment . Different versions of risk are usually measured by calculating the standard deviation of the historical returns or average returns of a specific investment. A risk is not an uncertainty (where neither the probability nor the mode of occurrence is known) a peril (cause of loss) or a hazard (something that makes the occurrence of a peril more likely or more severe). Securities trading: The probability of a loss or drop in value. Trading risk is … Definition of ' Risk . Definition: Risk implies future uncertainty about deviation from expected earnings or expected outcome. Risk measures the uncertainty that an investor is willing to take to realize a gain from an investment. Description: Risks are of different types and originate from different situations. All investments involve some degree of risk . In finance risk refers to the degree of uncertainty and/or potential financial loss inherent in an investment decision . In general as investment risks rise investors seek higher returns to compensate themselves for taking such risks . Every saving and investment product has different risks and returns. Risk is part of every human endeavor . From the moment we get up in the morning drive or take public transportation to get to school or to work until we get back into our beds (and perhaps even afterwards) we are exposed to risks of different degrees. Risk Management is concerned with all loss exposures not only the ones that can be insured. Insurance is a technique to finance some loss exposures and therefore a part of the broader concept of managing risk ; not the other way around. Amos Tversky Paul Slovic Jock R. Anderson Risk manageme… Hazard Risk assessment