This is the risk that an asset's sale price will be lower than its purchase price.

Question

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Price risk refers to the potential for an asset to decrease in value over time, resulting in a loss if it is sold for less than the purchase price. Default risk pertains to the possibility that a borrower will fail to repay a loan, while liquidity risk involves the difficulty of buying or selling an asset quickly without affecting its price. Trading risk is associated with the potential for losses due to market fluctuations or technical glitches during the process of buying and selling securities.

This Is the Risk That an Asset's Sale Price Will