Idiosyncratic Risk

Definition:

Unsystematic risk or risk that is uncorrelated to the overall market risk. In other words, the risk that is firm-specific and can be diversified through holding a portfolio of stocks.

Investing Essentials


Copyright © 2011 Campbell R. Harvey, Professor of Finance, Fuqua School of Business at Duke University

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Own foreign offices

U.S. reporting institutions' parent organizations, branches, and/or majority owned subsidiaries located outside the United States.

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