Risk which is common to an entire class of assets or liabilities. also called systematic risk. see also beta, portfolio theory, portfolio insurance.
The exposure to potential loss from fluctuations in market prices (as opposed to changes in credit status).
Refers to risk factors that affect financial markets as a whole. This risk is present in all financial markets, including the money, bond, stock, and currency markets. Market risk is common to all portfolios with securities traded in these particular markets. For example, market risk is present in nearly all equities in the stock market, since the prices of equities generally move together in the same direction. Market risk is due to macro-economic factors, such as major changes in interest rates. See systematic risk.
The risk that securities prices may fluctuate widely over short or even extended periods in response to company, market, or economic news. Securities markets also tend to move in cycles, with periods of rising prices and periods of falling prices.
The risk created by market conditions that affect all investments of a similar class. For example, the value of a particular common stock may fall based on a decrease in the values of a large group of common stocks. See Investment risk.
The risk of a general decline in the market.
Also known as "systematic risk," it refers to the risk attached to the overall market, rather than to an individual stock or bond. When an entire national bond or stock market rises or falls, most of the individual securities tend to rise and fall with the market. (Also see unsystematic risk.)
The risk that an asset will decline in price due to changes in market conditions (can include interest rates or market prices), resulting in a financial loss when the asset is sold. Also known as price risk, this is the risk that the price of a financial asset will be volatile.
Exposure to a change in the value of some market variable, such as interest rates or foreign exchange rates, equity, or commodity prices.
The exposure that results from holding an unhedged swap as market conditions change.
The risk that the value of a financial instrument will fluctuate as a result of changes in market prices whether those changes are caused by factors specific to the individual security or its issuer or factors affecting all securities traded in the market.
The risk an equity (stock) investor faces due to changes in the level of the overall equity market.
The part of security's risk that cannot be eliminated by diversification. It is measured by the beta coefficient.
The risk that the value of a security will decline. For stocks, this risk is measured by Beta. For bonds, it is a function of interest rates.
The risk that an investor can experience in financial or book loss from an adverse change in market prices.
The value of a security may decline due to general market conditions that are not specifically related to a particular company, such as real or perceived adverse economic conditions, changes in the outlook for corporate earnings, changes in interest or currency rates or adverse investor sentiment generally. They also may decline because of factors that affect a particular industry.
The potential for loss of asset value faced by short-term investors (such as investors in the stock market). Also called short-term risk.
The risks that occur when demand and supply pressures in the market cause the value of an investment to fluctuate.
The risk that fluctuates in the stock or bond market will cause an investor to lose money.
The chance of losing money on an investment because the price of the asset changes.
Risk relating to fluctuations in stock exchange prices and/or interest rates. . Net asset value per share Value of all the assets of a company less loan capital and divided by the number of shares outstanding.
Market risk, from an issuer’s perspective, is the risk that once debt has been issued, financial market prices may move such that either debt service costs increase directly or the opportunity to reduce debt service costs is missed. The Commonwealth faces two main sources of market risk - interest rate risk and exchange rate risk.
is the probability that an investment will vary in price as market prices or volatility changes. It includes currency risk, interest rate risk, equity price risk and commodity price risk.
Market Risk is the risk of price changes in the market for traded instruments and evaluates the potential impact of the market moving against the bank (a tradable instrument is anything that can be bought or sold, ranging from stocks and bonds to complex options and derivatives).
The potential for loss arising from potential adverse changes in underlying market factors, including interest and foreign exchange rates, equity and commodity prices, spread and basis risk.
The risk of loss resulting from changes in the prices of financial instruments in the markets in which Chase participates, such as changes in the value of foreign exchange or fixed-income securities.
The potential variability in the return offered by a security caused by general market influences that cannot be eliminated through diversification. Market risk, also known as systematic risk or undiversifiable risk is created by changes in interest and inflation rates, tax treatment and by the state of the economy itself.
The uncertainty of economic, social; or political events that would result in an investment's decrease in value. Since these events usually affect the entire market, market risk is called systematic risk.
The values of marketable securities fluctuate every day. Sometimes these changes in value have nothing to do with the real "value" of the investment but instead are influenced by a variety of unrelated events such as political changes, congressional actions, U.S. and foreign activities, or a psychological swing in the market "mood".
The chance that an investor takes that an entire class of investments (such as stocks or bonds) will rise or fall. If the entire stock market falls, chances are that any individual stock fund also will fall.
Risks associated with changes in market prices, such as interest rates and exchange rates. Changes in interest rates affect market prices of fixed interest securities. Hence, shorter duration securities are less at risk than long-term, fixed rate securities.
Also known as systematic risk. Risk that cannot be reduced by diversification and is dependent on factors that influence the market environment (such as, for example, political and economic developments and investors' perceptions).
The risk of a decline in the price of securities.
The potential loss of earnings or capital arising from changes in the value of portfolios of financial instruments.
Risk engendered by the day-to-day fluctuations in prices at which a security can be bought or sold.
The risk that the price of investments will be affected by the volatility of financial markets in general.
is the risk that the price of securities may decline in response to general market and economic conditions or events.
The risk that the stock market will go down ('bear market') rather than up ('bull market'). The only certainty of reducing market risk lies in long-term investing, as bear markets always eventually end.
Systematic risk (q.v.): risk associated with owning a particular type of security.
A degree of uncertainty about stock market conditions that can't be eased by diversifying investments into different types of stocks, or even other financial instruments.
The risk that the market value of an investment, collateral protecting a deposit, or securities underlying a repurchase agreement will decline.
Market risk refers to potential losses from financial transactions that may be triggered by changes in interest rates, volatility, foreign exchange rates and share prices. The changes in value are derived from daily marking to market, irrespective of the carrying amounts of assets and liabilities.
(systemic risk) - The risks associated with the overall market. For example, if the overall market suffers a large decline that may well impact the return of a specific investment.
Exposure to the uncertain market value of a portfolio. operational risk Risk due to human error, systems failure or external events.
Refers to the potential of loss that is possible, as a result of the short-term validity of the stock market. Owning funds, due to their diversification, shield an investor to some market risk that a stockholder may be vulnerable to.
The risk t an overall decline in the stock market will have a negative impact on the securities you own. The decline in value can be dramatic and possibly last for some time. Although the companies in which you are invested may be doing well, if there is a general decline in stock prices your shares may decline in value anyway. It is difficult to avoid the impact t a widespread drop in the market can have on individual stocks.
The possibility that the price of the security will change over time.
Risk relating to the market in general and cannot be diversified away by hedging or holding a variety of securities.
The potential for a negative impact on the balance sheet and/or income statement resulting from adverse changes in the value of financial instruments as a result of changes in certain market variables. These variables include interest rates, foreign exchange rates, equity or commodity prices and their implied volatilities, as well as credit spreads, credit migration and default.
The possibility that stock or bond prices overall will decline over short or even extended periods. Stock and bond markets tend to move in cycles, with periods of rising prices and periods of failing prices.
The risk that the unit price, or value, of your investment will decrease.
The risk of loss from an adverse change in market prices. See also systematic risk.
market risk is the risk that value will be lost due to a change in some market variable, such as commodity or equity prices, interest rates or foreign exchange rates. The market risk of a derivatives position may arise from a change in the value of the underlying or from other sources such as implied volatility or time decay (theta).
The volatility of a stock price relative to the overall market or index as indicated by beta.
Synonymous with Investment Risk.
The risks that occur when general market pressures cause the value of an investment to fluctuate.
The possibility that the value of an investment will fall because of a general decline in the financial markets.
It refers to the risk posed by the market in itself i.e. the risk that the price of a security will rise or fall due to changing economic, political, or market conditions, or due to a company's individual situation.
The risk that fluctuations in market prices (interest or exchange rates or equity prices) will result in losses. See also Value-at-Risk.
A risk related to adverse changes in the market prices of financial instruments
The risk that movement in the financial markets will adversely affect your investment.
The market as a whole for an asset may decline, as in the financial crises of 1929 and 1987 and in other economic recessions.
The risk that the value of an investment will fluctuate because of changes in the market for that type of investment; the best example is the stock market.
All investments involve some degree of risk: the possibility that an investor will not recover all of their original investment if the security price falls, a company goes into liquidation, or a number of other reasons.
Risk that arises from the fluctuating prices of investments as they are traded in the global markets. Market risk is highest for securities with above-average price volatility and lowest for stable securities such as Treasury bills.
The possibility that stock or bond prices overall will decline over short or even extended periods. Stocks and bond markets tend to move in cycles, with periods when prices rise and other periods when prices fall.
The risk of the market fluctuating, especially in a downward direction.
Uncertainty about loss of capital due to changes in the market price of the security. A direct investment risk.
The chance that the value of an investment will decline to a level below its current market price.
The risk that the change in value of a security or portfolio due to a change in the level of interest rates will significantly change the market value of the security or portfolio
The risk that the value of a security will decline. Relating to fixed income securities, it is closely related to interest rate risk since as interest rates rise, prices will decline.
Exposure to changes in market prices.
Risk from changes in market prices.
that part of a security's risk that is common to all securities of the same general class (stocks and bonds) and thus cannot be eliminated by diversification.
is the risk of financial loss arising from movements in interest rates or currencies.
Bonds sold before maturity may suffer a loss due to a rise in interest rates or other market conditions. Volatility is an expression of a bond's susceptibility to market risk. See also: Risk.
The likelihood that the value of a security will move in tandem with its overall market.
the risk that market interest rates will rise causing a loss of value in investments held. All investments made by the City involve a degree of market risk. See also "Unrealized Gains (Losses).
Risk relating to the movements in the underlying market, not relating to a particular security or security type.
The uncertainty of returns attributable to fluctuation of the entire market.
Risk that relates to the market as a whole and therefore cannot be diversified away simply by holding a greater variety of securities. See also Systematic Risk.
Uncertainty in the value of real estate due to market, economic, political or other conditions.
The day-to-day potential for an investor to experience losses from fluctuations in securities prices.
The risk of change in market prices or in market conditions that is inherent to the market and that cannot be mitigated by diversification. Sometimes referred to as systematic risk.
Risk that cannot be diversified away. Related: systematic risk
The risk associated with investing in the market and cannot be hedged or avoided.
Risk of loss due to unfavourable price changes on the financial markets.
The chance that a security's value will decline. With fixed income securities, market risk is closely tied to interest rate risk--as interest rates rise, prices decline and vice versa. See: Risk; Systematic Risk
Market risk is the risk that investments will lose money based on the daily fluctuations of the market. Bond market risk results from fluctuations in interest. Stock prices, on the other hand, are influenced by factors ranging from company performance to economic factors to political news and events of national importance. Time is a stabilizing element in the stock market, as returns tend to outweigh risks over long periods of time. Market risk cannot be systematically diversified away.
Investing in the stock market means that you can benefit from its growth potential. However, there is also a risk (market risk) that you could lose your money should the stock market in which you have invested fall in value.
A risk experienced by those who invest in securities which is the risk of possible loss of investment since there are no guarantees associated with such investments.
The chance that the stock or bond markets, or the economy as a whole, may decline.
The potential for an investor to experience losses owing to day-to-day fluctuations in the prices at which securities can be bought or sold.
The risk that current interest rates may change and thus adversely affect current market prices.
The risk of loss from fluctuations in securities prices.
broad risks that affect all shares e.g. political upheaval. Also known as systematic risk
The risk an investor takes when holding a security. For any security, its price in the secondary market can be greater or less than the initial market price. Current interest rates at the time the security is sold, supply and demand, the characteristics of the security being sold, and other factors affect the market price and risk. Fixed-income securities sold before their maturity are subject to market risk.
Also called systematic risk. The portion of a security’s risk common to all securities in the same asset class, and that cannot be eliminated through diversification.
Market risk is the risk that the value of an investment will decrease due to moves in market factors.