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Thanks for the invitation;
"Financial Risk" ( as I believe and not "risk in finance" as mentioned in the question), in a very simple words define as "Uncertainty associated with any financial investment", or "the degree of uncertainty of "return on an asset", and same is usually calculated by using the "The standard deviation" of the return on investment "ROI".
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Since from a business perspective, the ultimate goal for every company is the increase in its profitability, along with the increase in its shareholders value, we could define risk as a state or occasion that jeopardizes the company's profitability and cash inflow.
Sources of risk vary and have already been stated in previous answers.
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Financial risk can be briefly defined as the variability of future returns.
Risk in finance as the name suggests is the risk that involves financial loss to firms. Financial risk is a very broad term but generally it arises due to instability and losses in the financial market caused by movements in stock prices, currencies, interest rates and more. Financial risk is one of the high-priority risk types for every business. Financial risk is caused due to market movements and market movements can include a number of factors.
Financial risk can be classified into various types such as:
Finance is very much linked with the risk specially when it comes to budgeting and investing
Agree on experts answers, Thanks for your invitation.
After investing a huge investment, with no proper, " ROI" then naturally risk arises.
Financial risk is an umbrella term for multiple types of risk associated with financing, including financial transactions that include company loans in risk of default. Risk is a term often used to imply downside risk, meaning the uncertainty of a return and the potential for financial loss
Lack of infrastructure for the project properly established
