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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.
Copyright © 2012, Campbell R. Harvey. All Rights Reserved.

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.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved

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.
Wall Street Words: An A to Z Guide to Investment Terms for Today's Investor by David L. Scott. Copyright © 2003 by Houghton Mifflin Company. Published by Houghton Mifflin Company. All rights reserved. All rights reserved.

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.

Dictionary of Financial Terms. Copyright © 2008 Lightbulb Press, Inc. All Rights Reserved.

risk

see UNCERTAINTY AND RISK.
Collins Dictionary of Business, 3rd ed. © 2002, 2005 C Pass, B Lowes, A Pendleton, L Chadwick, D O’Reilly and M Afferson

risk

Uncertainty regarding the possibility of loss.

The Complete Real Estate Encyclopedia by Denise L. Evans, JD & O. William Evans, JD. Copyright © 2007 by The McGraw-Hill Companies, Inc.
References in periodicals archive ?
Under Information Structure 1, in the second period because all insurers make the same update on an individual's riskiness, they will all offer the same policy: the actuarially fair policy calculated by one's NCD index.
Second, there is a trade-off between incentives and the riskiness of the task.
For valence, arousal and riskiness ratings, separate analyses of variance were conducted with a within-subject factors option (11/0, 10/1, 9/2, 8/3, 7/4, 6/5) and condition (pay-all and pay-one).
The yield riskiness of growing miscanthus on cropland was similar to that on marginal land, but the yield riskiness of switchgrass was lower on cropland (Table 1).
Average tier-l capital at banks went up, but so did the riskiness of their assets, as measured by the risk-weighted assets.
The most straightforward way of reducing the perceived riskiness of their books would be for banks to set aside more money to cover potential future loan losses, which probably implies taking a hit to fourth-quarter earnings.
The difference in means seen in the construct of riskiness is positive because women found GM food to be more risky.
This can be explained by greater tolerance due to familiarity (Greenstein and Hamilton, 1997) or a more accurate assessment of client's riskiness due to improved knowledge (Johnstone and Bedard, 2004).
This second distorting effect results from pushing interest rates below the natural rate and consequently reducing risk premiums so that there is a collective mis-appreciation of the riskiness of business ventures.
moderate the banking sector's fundamental riskiness for creditors, but
"The Government is de jure form a favorable ambience, but de facto, the country's riskiness demotivates investors.
So much effort has been devoted to tracking and controlling the riskiness of banking and financial institutions.