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Finance Glossary

Just call us Bond. Amortized bond.

Over 700 finance terms, Shmooped to perfection.

Systematic Risk

Definition:

A big system risk you take when you invest in anything.

If you own stocks, and the whole stock market goes into a swan dive, them's the breaks. You can reduce the risk or hedge the risk by buying puts or sell calls...or investing in something besides the stock market.