Definition and Features of Systematic and Unsystematic Risk

This risk is something that is likely to lose something of value in our lives. This value can be said as physical health, social status or financial wealth and others. This can be obtained from time to time or disappeared when taking a risk as a result of action taken or unexpected action in the future. Risky can also be said as an intentional interaction with uncertainty. With this uncertainty the potential, unpredictable and uncontrollable. Hence this risk is from action taken though there is a factor of uncertainty in planning for the future. This risk has been in various forms of risk. In general, investors are usually vulnerable to two types of parts that are systematic with unsystematic.

The first, systematic risk can be identified as a risk that always exists in market segments or markets, thereby affecting a substantial amount of assets from investors. It can also be known as irreversible risk of volatility as well as market risk. Systematic risk can also affect the overall market, not just in the field of stock or in certain industries as well. This type of risk can also be regarded as unpredictable and also impossible to avoid completely from the risk. Examples of these include the changes in interest rates, inflation, the country's economic recession and the ongoing war.

The second risk known as non-systematic risk. Unsystematic risk is the risk that it is against systematic risk that it will only suffer losses in small amounts of assets rather than systematic losses. This risk can also be identified as a nonsystematic risk, specific risk, risk considerable and also known as residual risk. This type of risk also refers to the uncertainty inherent in the investment of the invested company as well as in any industry the examples to be found are as included in the change in management, withdrawal of products that have been issued, changes in regulations that reduce the company's sales and as well as the new competition that there is in the marketplace to take part in existing markets from a company in which you have invested in profitability.

Risks can be found in any area of life as well as in management. This is something that we should do if we manage the main organization or just cross the road as it reflects on the risks involved. However, it is easy for us to consider that risk taking be operational in several other areas of practice. Here are some different risks.

The first is economic risk. These economic risks can be seen from or in low opinion groups or can also be classified in the category of higher spending than expected by risk-taking groups. The reasons can be found in many ways and conditions, for example, that can be expressed as a rise in the price of raw goods, a decline in the construction of a gazette date, an interruption in the production of new product processes, the emergence of new competitors that grow like rain after rain serious, lost workforce experienced in the field, changes in political sectors that differ in opinion or even natural disasters that happen unexpectedly by humans.

Besides that, health also has a risk. This risk is known as a health, safety and environmental (HSE) risk that is comprised of different areas but often associated with each other when a risk occurs. This reason is often used in relation to management structure. However they have relationships that are always closely related to the published discipline. One of the most recognizable is that strong ties between one risk event may have an impact on the three categories as well as in different times. An example can be expressed as an uncontrolled or controlled radical when doing such a radical or poisonous chemical that may have a short-term effect on the health and long-lasting effects of the health and the impact on the contaminated or damaged environment prolonged by factors -factor factors such as chemobyl disease that cause death in a short or immediate term and also take long periods of time such as cancer and leave a prolonged environmental impact that can bring disability and birth defects to wildlife and as related.

Lastly what can be stated is the health and environmental risks. This risk will have an adverse impact on humans and the environment. This results in exposure and exposure hazards. Hazards are known as dangers or are also exposed to intrinsic hazards, examples that can be given such as chemical compound toxicity, this chemical exposure can cause harm to humans. Therefore, it is a hazardous substance risk that approximates the zero amount due to the occurrence of exposure in the non-zero amount given by a biologist, activity and location of that person. Another example of a risk that can be given is health risk when bad behavior occurs as sexual behavior that is at risk of spreading HIV disease.