Describe the concept of the risk return what are factor that cause variations in return and risk
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return means anything we get return like if we purchase goods from market but goods got damage we can replace so our money get back is called return
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The sources of investment risk are classified as systematic and unsystematic risk. Systematic risk is the volatility of returns caused by the factors that affect all firms. These systematic factors include macroeconomic factors such as inflation, interest rates, economic growth, exchange rates etc.
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