Capital Risk

Capital Risk

The risk that a company will lose the amount of an investment. An investor takes on capital risk each time he/she invests in anything other than a risk-free security. Capital risk is limited to the amount one has invested. For example, if one buys a $1,000 bond, he/she will not lose more than $1,000.
References in periodicals archive ?
By: Egypt Today staff CAIRO - 29 May 2017: A capital risk firm for financing insolvent factories will be launched within days with LE 150 million, under the name of Misr for Capital Risk, Minister of Industry Tarek Kabil said in a Monday statement from the ministry.
The third component is the capital risk, which arises from non-government induced uncertainties that affect the economy and business sector.

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