UNSYSTEMATIC RISK
Unsystematic Risk is a company-specific and industry-specific risk or hazard that is embedded in every investment and may be reduced using diversification. Diversification is when you spread your investments in different companies and industries and purchasing other types of securities. In the event that an event will significantly impact a company, you will have something to fall back on as not all your investment is focused in one stock. Unsystematic risk involves regulatory change, management transfer, new competition, and product recall. The other names for unsystematic risk are ‘non-systematic risk’, ‘diversifiable risk’, ‘residual risk’, and ‘specific risk’.
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Tit for Tat
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Nonsegregated Disclosures
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Product Line
A series of related products which are all made or manufactured by the same company.
Behavioral Economics
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