Episode 7: Systematic Risk

written by WWM | February 15, 2021

In episode 7 on the Wilson Wealth Management YouTube channel, we look at systematic risk and its impact on your investment analysis and portfolio.

Systematic risk is the complement to nonsystematic risk, which we reviewed in episode 6. Together, they are components in assessing investment risk and creating strong standard deviation risk measures.

What is systematic risk? Also known as market or non-diversifiable risk.

How does it differ from nonsystematic risk?

What are the key systematic risks?

Why is it important for investors, and businesses, to understand these risks and their potential impact on portfolio assets?

How do businesses and investors manage systematic and nonsystematic risks?