speculative risk Definition | Business Dictionaries from AllBusiness.com
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Business Definition for: speculative risk
speculative risk

uncertain prospect of financial gain or loss. A business investment that could either return a profit or sustain a loss, such as the purchase of a common stock, is an example of a speculative risk. In most instances, speculative risks are not insurable.

See also pure risk , standard risk
speculative risk

uncertainty of the chance of a financial loss or a financial gain. For example, betting on a horse presents a chance for financial gain or financial loss. Insurance is not intended to cover speculative risks.

Copyright © 2000, 1995, 1991, 1987 by Barron's Educational Series, Inc. Reprinted by arrangement with Publisher.
Copyright © 2007, 2000, 1997, 1987, by Barron's Educational Series, Inc. Reprinted by arrangement with Publisher.

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