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Information for this question: You are required to relate your discussions to the company you analysed this semester for the Assignment, where you have identified

Information for this question: You are required to relate your discussions to the company you analysed this semester for the Assignment, where you have identified the name or ASX code of the company in Question 8. You will demonstrate your understanding of systematic and unsystematic, business and financial risks in this question.

Task: Write your discussions in the text box provided and address the following questions. Ensure you contextualise your discussion to the company you named in Question 8. You will take the viewpoint of an investor looking to invest (buy shares) in this company, with an alternative of investing in a diversified portfolio comprised of shares from companies across various sectors.

  • Explain how COVID-19 is an example of systematic business risk, or systematic financial risk for investing in your company named in Question 8.
  • Discuss one example of unsystematic business risk, or unsystematic financial risk for investing in your company named in Question 8. Explain how this unsystematic risk you have discussed can be diversified in a portfolio of other investments.

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