The-definition.com

Definition

Systematic Risk

Systematic Risk is the risk that the failure of one participant in a payment or settlement system, or in financial markets generally, to meet its required obligations when due will cause other participants or financial institutions to be unable to meet their obligations (including settlement obligations in a payment and settlement system) when due.

Share it:  Cite

More from this Section

  • Public need
    Public need is one of the criteria used by governmental agencies to determine whether ...
  • Retention of Title Clause
    Retention of Title Clause is a contract clause whereby a seller declares his intention ...
  • International Fisher effect (IFE) line
    International Fisher effect (IFE) line is a diagonal line on a graph that reflects points ...
  • Direct writer
    Direct writer allows insurance company in which the salesperson is an employee of the ...
  • Possessions Corporation
    Possessions Corporation refers to a U.S. corporation, the subsidiary of another U.S. corporation, ...