Examine the risks that can be associated with money.
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Some of the risks that can be associated with money
Explanation:
- Financial risk is the potential to lose money on investment or business. More general and distinct financial risks include capital risk, credit risk, market risk, concentration risk, and interest rate risk.
- The liquidity risk is the risk that an enterprise or bank will not be able to meet short-term financial requirements. This also happens when a security or hard asset can not be turned to cash without losing capital and/or revenue
- Currency risk, usually called exchange rate risk, is triggered by price change for one currency over another.
- Inflation risks quietly erodes the value of your money
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