Questions: Define the concept of risk in investment.

The concept of risk in investment refers to the potential for losing some or all of the original investment. It is the uncertainty regarding the returns that an investment will generate. Risk can arise from various factors, including market volatility, economic changes, political events, and company-specific issues. In general, higher-risk investments have the potential for higher returns, but they also come with a greater chance of loss. Conversely, lower-risk investments tend to offer more stable returns but with less potential for significant gains. Understanding and managing risk is a crucial aspect of making informed investment decisions.