risk aversion

Attitudes toward *risk characterized by avoidance or minimization. Risk-averse investors are deemed to have low *risk appetites - they prefer certain but relatively low rates of *return over doubtful but higher rates of return. For example, an individual who chooses to receive $100 with certainty rather than a 50 percent chance of receiving $200 would be classified as risk-averse. Contrast *risk-seeking.

Auditor's dictionary. 2014.

Look at other dictionaries:

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