Write 400–600 words that respond to the following questions with your thoughts, ideas, and comments. This will be the foundation for future discussions by your classmates. Be substantive and clear, and use examples to reinforce your ideas.
Discuss the sources of risk that compose the risk portion of the risk and reward trade-off.
Be sure to include the following:
- Business risk
- Purchasing power risk
- Interest rate risk
- Liquidity risk
- Event risk
- Market risk