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What Is Systematic Risk? Systematic risk is the risk that broad economic or market forces will negatively affect most or all investments. It’s sometimes called market risk or non-diversifiable risk because it impacts the overall financial system rather than one particular company. Common sources of systematic risk include...

What Is Currency Risk? Currency risk (also called exchange rate risk) is the possibility that changes in the value of one country's currency relative to another will affect the value of an investment, business transaction, or purchase. Simply put, if you own assets or conduct business in another country's currency, fluctuations in exchange rates can either help or hurt your financial results.

What Is Interest Rate Risk? One of the biggest forces affecting your money is something you can't see: interest rates. Interest rate risk is the possibility that changes in interest rates will reduce the value of an investment or increase the cost of borrowing money. While interest rates may seem like something only bankers and economists worry about, they impact nearly every financial decision you make, from buying a home to investing for retirement.