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Systematic risk means the possibility of loss associated with the whole market or market segment. Unsystematic risk means risk associated with a particular industry or security. Systematic risk is uncontrollable whereas the unsystematic risk is controllable. Systematic risk arises due to macroeconomic factors.
A zero-beta portfolio is a portfolio constructed to have zero systematic risk, or in other words, a beta of zero. ... Such a portfolio would have zero correlation with market movements, given that its expected return equals the risk-free rate or a relatively low rate of return compared to higher-beta portfolios.