Question

what us concentration risk​

Answer 1

Answer:

Concentration risk is a banking term describing the level of risk in a bank's portfolio arising from concentration to a single counterparty, sector or country. The risk arises from the observation that more concentrated portfolios are less diverse and therefore the returns on the underlying assets are more correlated.

Answer 2

Answer:

Concentration risk''' is a [[bank]]ing term describing the level of risk in a bank's portfolio arising from concentration to a single counterparty, sector or country.

The risk arises from the observation that more concentrated portfolios are less [[Diversification (finance)|diverse]] and therefore the returns on the underlying assets are more correlated.