Share
Explore BrainMass

Risk - Theory

What constitutes total risk, and how is it measured? Of the two components of total risk, discuss which one investors can eliminate? Explain the remaining
risk, and how is it measured?

Solution Preview

Total Risk - Systematic and Unsystematic Risk

Total investment risk is made up of two types of risk, diversifiable risk and non-diversifiable risk, (also referred to as systematic and unsystematic risks). Diversifiable risk ...

Solution Summary

What constitutes total risk, and how is it measured? Of the two components of total risk, discuss which one investors can eliminate? Explain the remaining
risk, and how is it measured?

$2.19