Asked by
Allison Ramsey
on Dec 09, 2024Verified
An increase in the rate of GDP growth is an example of systematic risk.
Systematic Risk
The risk inherent to the entire market or market segment, which cannot be eliminated through diversification.
Rate of GDP Growth
The annual percentage increase in a country's gross domestic product, indicating the pace at which its economy is expanding or contracting.
- Define the contrast between systematic and unsystematic risks, including examples and highlighting their impact on portfolio management.
Verified Answer
HV
Learning Objectives
- Define the contrast between systematic and unsystematic risks, including examples and highlighting their impact on portfolio management.
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