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Risk Lover |
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Risk lover A person willing to accept lower expected returns on prospects with higher amounts of risk. Risk Lover An investor who is willing to take big risks to increase the potential return on investments. For example, a risk loverwould be more likely to invest in the IPO of a company with a new and exciting product about which little is known, than to invest in the secured bond issued by a company everyone knows and trusts. Critics maintain that risk lovers accept lower returns for their risk and, as such, are not investing efficiently. See also: Markowitz efficient portfolio. Want to thank TFD for its existence? Tell a friend about us, add a link to this page, add the site to iGoogle, or visit the webmaster's page for free fun content. |
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