Stand-alone risk
Stand-alone risk is the risk an investor takes by holding only one asset.
Definitions
According to Financial Management Theory and Practice by Eugene F. Brigham and Michael C. Ehrhardt (13th edition),
- Stand-alone risk. The risk an investor takes by holding only one asset.
According to Fundamentals of Financial Management by Eugene F. Brigham and Joel F. Houston (15th edition),
- Stand-alone risk. The risk an investor would face if he or she held only one asset.
- Stand-alone risk. The risk an asset would have if it were a firm's only asset and if investors owned only one stock. It is measured by the variability of the asset's expected returns.
Related concepts
- Financial management. A combination of enterprise efforts undertaken in order to procure and utilize monetary resources of the enterprise.