Question

Why are “new wave” of finance experts perceived to be so risk adverse?

Answer 1

New wave of finance experts are generally considered risk-averse because finance experts are mostly known to various kinds of frauds and insider trading company can do and these financial experts also known that various sophisticated methods of window dressing through which a company can manipulate it's profit and they are highly sceptical about the financial reporting of the company and the financial performance of the company.

These risk averse financial experts are always investing into diversified amount of portfolios and they do not want to take much risk, because they want to secure their job of earning an uniform rate of return for various industries and they are maintaining the consistent rate of return in order to help the investor with arriving at constant rate of return even though those rate of return of comparatively lower.