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Definition

Risk

Risk is a loss or consequence of action which is created from uncertainty.

According to John J. Hampton,” Risk may be defined as the likelihood that the actual return from an investment will be less than that forecast return.”

According to Besely and Brigham,” Risk can be defined as the chance that some event other than expected will occur.”

According to L.J. Gitman,” Risk is the financial loss or more formally, the variability of returns associated with a given assets.”

According to Irvin pfeffer,” Risk is a combination of hazards measured by probability.”

    Mainly, there are three kinds of risk. Such as-  

           1.Business risk,

           2.Financial Risk, and

           3.Pure risk


Risk is the uncertainty about loss or injury.


Risk is the degree of uncertainty associated with the return on bonds with default risk and the interest rate on default-free bonds.


Risk based on the historical definition, risk is defined as uncertainty concerning the occurrence of a loss. Numerous definitions of risk exist in the professional literature. Because of ambiguity, the term “loss exposure” is often used instead of “risk.”

Webster Dictionary Meaning

1. Risk
- Hazard; danger; peril; exposure to loss, injury, or destruction.
- Hazard of loss; liabillity to loss in property.
- To expose to risk, hazard, or peril; to venture; as, to risk goods on board of a ship; to risk one's person in battle; to risk one's fame by a publication.
- To incur the risk or danger of; as, to risk a battle.
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