STOK MARKET RISK
Objective of the E- BOOK To learn about the stock market risk Key Learnings from the Video 1. Meaning of Stock Market Risk The term investment itself means risk because the return on investment is always a thing of concern. When an investor is investing in the Stock Market he/she taking a risk as an investment in the shares of the company may not mean high returns, this can also lead to a loss. 2. Types of Risks The various types of risks are: a. Systematic risk Systematic risk is the risk that arises due to the fluctuations in the stock market of the country in which you are investing is known as systematic risk. For example, if an investor is investing in the Indian stock market, then his/her investment can be at risk according to the movement/fluctuations in the stock market (like National Stock Exchange, Bombay Stock Exchange, etc.). Systematic risk cannot be covered because it is caused due to a particular system which is in place. The various situations wh...