Equity Risk
The risk of loss due to fluctuations in the price of stocks or equity securities. Equity risk is influenced by factors such as changes in interest rates, economic conditions, and company-specific events.
Equity
Ownership interest in a company, represented by shares of stock. Equity represents a claim on the company’s assets and earnings and entitles shareholders to voting rights and dividends.
Efficient Market Hypothesis
A theory that asserts that financial markets are efficient and incorporate all available information into asset prices. According to the EMH, it is impossible to consistently outperform the market through active management or analysis of past price movements