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nlexa [21]
3 years ago
7

Many former employees at AlphaEnergy, an energy trading and supply company, had a large

Business
1 answer:
Virty [35]3 years ago
7 0

Answer:

Letter A is correct.<u> </u><em><u>Unsystematic</u></em><em> </em>risk.

Explanation:

Unlike systematic risk, which is an inherent market risk, unsystematic risk is inherent in a specific sector or company.

The case in point concerns the investment of former AlphaEnergy employees, which is a unsystematic risk, as the investment risk in single-company shares includes regulatory changes, management changes, loss of market due to competition and withdrawal of the product from the market.

To reduce this type of risk, investors should seek diversification in their stock portfolio.

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Answer:

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