risk

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Related to Relative risk: absolute risk, Attributable risk

Risk

Often defined as the standard deviation of the return on total investment. Degree of uncertainty of return on an asset. In context of asset pricing theory. See: Systematic risk.

Risk

The uncertainty associated with any investment. That is, risk is the possibility that the actual return on an investment will be different from its expected return. A vitally important concept in finance is the idea that an investment that carries a higher risk has the potential of a higher return. For example, a zero-risk investment, such as a U.S. Treasury security, has a low rate of return, while a stock in a start-up has the potential to make an investor very wealthy, but also the potential to lose one's entire investment. Certain types of risk are easier to quantify than others. To the extent that risk is quantifiable, it is generally calculated as the standard deviation on an investment's average return.

risk

The variability of returns from an investment. The greater the variability (in dividend fluctuation or security price, for example), the greater the risk. Because investors are generally averse to risk, investments with greater inherent risk must promise higher expected yields.

Risk.

Risk is the possibility you'll lose money if an investment you make provides a disappointing return. All investments carry a certain level of risk, since investment return is not guaranteed.

According to modern investment theory, the greater the risk you take in making an investment, the greater your return has the potential to be if the investment succeeds.

For example, investing in a startup company carries substantial risk, since there is no guarantee that it will be profitable. But if it is, you're in a position to realize a greater gain than if you had invested a similar amount in an already established company.

As a rule of thumb, if you are unwilling to take at least some investment risk, you are likely to limit your investment return.

risk

see UNCERTAINTY AND RISK.

risk

Uncertainty regarding the possibility of loss.

References in periodicals archive ?
It is important to recognize that, for both relative risk and relative risk reduction, the same proportional reduction occurs regardless of the magnitude of the absolute values.
In principle, this should allow the coefficient of relative risk aversion taken from a study in which utility is defined over consumption (or any other outcome variable) to be rescaled and compared directly to the coefficients of relative risk aversion from unrelated studies that use income or wealth as the argument of the (indirect) utility function.
In any case where a pharmaceutical agent creates an increased relative risk of an adverse event greater than 2, the plaintiff's attorney can definitively state from a scientific and epidemiological standpoint that the event was more likely than not caused by the agent.
Milloy explains that the "public health establishment attached small relative risks in this case because liberal abortion rules are sacred among the public health establishment.
We started from a list of legal opinions where relative risk and specific causation come together.
The relative risk of stroke rose less steeply, but still substantially, among people who cited moderate depressive symptoms, Jonas and Mussolino report in the July/August PSYCHOSOMATIC MEDICINE.
The NFPA 43B system establishes a class system which indicates the relative risk of each peroxide product.
I find that both in 1900 and again in 1985-91, the relative risk of labor force nonparticipation increases for the excessively lean and obese.
5 relative risk of developing CIA in comparison to general clozapine-treated patients, while Lower Risk patients have a 0.
Exposure-response analysis indicated that for every 10 mg increase in iron dose/day, up to 66 mg/day, the relative risk of maternal anemia was 0.