Personal Finance
Risk Requirement
Definition
What is Risk Requirement?
The amount of investmentAn asset or commitment of money made with the expectation of future income, growth, or both. risk needed to pursue a financial goalA specific money-related outcome with a target amount and time frame..
Example in practice
How This Looks in Practice
A very ambitious return target may require more risk than the investorA person or organisation that commits capital with the expectation of a financial return. should accept.
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