List and define the different major categories of risk events

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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List and define the different major categories of risk events

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Step 1: INTRODUCTION

Risk can be defined as the variability of returns. When the variability of the return is high, in that case risk is also high. When the variability of the return is low, in that case risk is also low.

Risk of project is measured by the standard deviation or the variance.

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