Nondiversifiable Risk

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Nondiversifiable risk

Risk that cannot be eliminated by having a large portfolio of many assets.

Systemic Risk

A risk that is carried by an entire class of assets and/or liabilities. Systemic risk may apply to a certain country or industry, or to the entire global economy. It is impossible to reduce systemic risk for the global economy (complete global shutdown is always theoretically possible), but one may mitigate other forms of systemic risk by buying different kinds of securities and/or by buying in different industries. For example, oil companies have the systemic risk that they will drill up all the oil in the world; an investor may mitigate this risk by investing in both oil companies and companies having nothing to do with oil. Systemic risk is also called systematic risk or undiversifiable risk.

nondiversifiable risk

See systematic risk.

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Systematic Risk			noncategorical taking Noncity Delivery Nonclearing Member Noncommercial Trader Noncompete noncompetition clause Noncompetitive Bid Noncompetitive Tender Nonconcurrency nonconforming use Noncontributory Pension Plan Nonconvertible Currency Noncumulative Noncumulative Preferred Stock Noncurrent Asset Noncurrent Liability Noncustodial Parent Nondeductible Contribution Nondeductible Tax Nondeliverable Forward Contracts nondisclosure Nondiscretionary Trust Nondiscrimination Rule nondisturbance clause Nondiversifiability of Human Capital Nondiversifiable Risk Nondiversified Management Company Nondurable Goods Nonequity Option Nonessential Function Bond nonfeasance Nonfinancial Asset Nonfinancial Assets Nonfinancial Services Nonforfeiture Clause nonfreehold estates nonhomogeneic Noninsurance Risk Noninsured Plan Noninsured Plans Noninterest-Bearing Note Nonintermediated Debt Market nonjudicial foreclosure Nonlegal Investment Nonmailable Matter Nonmarginable Securities Nonmarketable Security Nonmarketed Claims Nonmember Bank Nonmember Firm Nonmonetary assets and liabilities			nondisjunction nondisjunction Nondisjunction (genetics) Nondisjunction (genetics) Nondisjunction (genetics) nondisjunction mosaic nondisjunction sterility nondisjunction sterility nondisjunction sterility nondisjunction sterility Nondisjunction, genetic Nondisjunction, genetic Nondisjunction, genetic nondisjunctional nondisjunctional nondisjunctional Nondisjunctions Nondisjunctions Nondisjunctions Nondispersant Polymethacrylate Nondispersion nondisposable nondisputable nondissipative muffler nondissipative stub nondistended nondistinctive nondisturbance clause nondivergent flow Nondiversifiability of human capital Nondiversifiable Risk Nondiversifiable Risks Nondiversified Management Companies nondiversified management company Nondo nondomicile nondomiciled Nondrainage Regions nondrinker nondrip nondriver nondrying nondrying oil Nonduality Salon-A nonduplication of benefits nondurable nondurable goods nondurable goods Nondurable Merchandise Nondurable Merchandise none none none none None but the brave deserve the fair None Dare Call It Conspiracy None Dare Call It Conspiracy None Detected None Known Did Ask None Left Behind

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