A coin-flip investment with a 50% chance of earning $1.01 or losing $0.99 is considered low risk due to the minimal magnitude of the potential loss.

Authors

• Person: Not available Organization: Pressbooks
  Chapter 8 – Risk and Return – Fundamentals of Finance

Sources

• Chapter 8 – Risk and Return – Fundamentals of Finance pressbooks.pub Pressbooks via serper

Referenced by nodes (1)

• risk concept