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Unsystem risk

This topic has 1 reply, 2 voices, and was last updated 1 year ago by John Moffat.

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April 16, 2023 at 10:23 am #682699
phuongmore
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Please explain why when a large proportion of shares ae owned by institutional shareholders, and it is likely that their investment porfilios are already well – diversified, and hence they are not exposed to unsystematic risk ?
April 16, 2023 at 6:11 pm #682737
John Moffat
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But I explain this in my lectures on CAPM!!
Creating a well-diversified portfolio removes the unsystematic risk.
Have you not watched all of my lectures? You cannot expect me to type them out again here 🙂
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