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when risj is high, the ibvestment is considered aggressive or speculative

when risj is high, the ibvestment is considered aggressive or speculative
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It depends upon the type of risk taken.

Total Risk = systematic risk+ unsystematic risk.

Aggressive:
1. If the focus is on earnings through taking High Systematic risk then the Investment is said to Aggressive.

2. Here it is in the nature of Calculated & Managed Risk i.e The risk can be managed more easily.

3. the outcome dependent on Macro layer factors.


Speculative:
1. If the focus is on earnings through taking High UNsystematic risk then the Investment is said to Speculative.

2. Here it is in the nature of the gamble and risk can't be managed very easily.

3. the outcome dependent on Micro layer factors.

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