1. What is the relationship between risks of an investment, and the required return on an investment? How do you quantify this risk?
2. Discuss the various components of risk. If, for example, I am calculating the required return on an investment in Cronos Group, Inc., what are the various risks I need to consider?
3. A common analogy is made between investing and the risks involved, and gambling. Do you agree with this analogy? Why or why not?
4. Describe, in your own opinion, what types of investments you would consider risky. How do you define that? Think about your own tolerance for taking on risk when you craft your answer. There is no right or wrong answer to this question, this is just designed to get you thinking about your own tolerance for risk.