Systematic risk is that portion of an asset's risk that is attributable to firm-specific, random causes.

Name: Systematic risk is that portion of an asset's risk that is attributable to firm-specific, random causes.
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Systematic risk is the portion of an asset's risk that is attributable to factors affecting the overall market or economy, such as changes in interest rates or a recession. The risk that is attributable to firm-specific, random causes is called unsystematic risk.

Systematic Risk Is That Portion of an Asset's Risk That