Market Risk is also called as __________?

A. Idiosyncratic Risk
B. Portfolio Risk
C. Capital Structure Risk
D. Systematic Risk

Submitted by: Yasir Alam

The term market risk, also known as systematic risk, refers to the uncertainty associated with any investment decision. Price volatility often arises due to unanticipated fluctuations in factors that commonly affect the entire financial market.

Related Mcqs:

Sum of market risk and diversifiable risk are classified as total risk which is equivalent to_______________?
A. Sharpe’s alpha
B. Standard alpha’s
C. Alpha’s variance
D. Variance
An unsystematic risk which can be eliminated but market risk is the__________?
A. Aggregate risk
B. Remaining risk
C. Effective risk
D. Ineffective risk
According to market risk premium, an amount of risk premium depends upon investor______________?
A. Risk taking
B. Risk aversion
C. Market aversion
D. Portfolio aversion
An effect of interest rate risk and investment risk on a bond’s yield is classified as_________?
A. Reinvestment premium
B. Investment risk premium
C. Maturity risk premium
D. Defaulter’s premium
Risk free rate is subtracted from expected market return is considered as___________?
A. Country risk
B. Diversifiable risk
C. Equity risk premium
D. Market risk premium
Interest rates, tax rates and market risk premium are factors which an/a_____________?
A. Industry cannot control
B. Industry cannot control
C. Firm must control
D. Firm cannot control
In capital market line, risk of efficient portfolio is measured by its____________?
A. Standard deviation
B. Variance
C. Aggregate risk
D. Ineffective risk
Positive minimum risk portfolio of any security shows that market security sold____________?
A. Equal to original price
B. Equal to sum of stocks
C. Less than original price
D. Greater than original price
Beta coefficient is used to measure market risk which is an index of__________?
A. Coefficient risk volatility
B. Market risk volatility
C. Stock market volatility
D. Portfolio market portfolio
The risk of losses caused by flawed or failed processes, policies, systems or events that disrupt business operations is called
A. Operating Risk
B. Financial Risk
C. Debt Risk
D. Business Risk
Submitted by: Yasir Alam