risk neutral

Definition

Insensitive to risk, meaning someone who is completely indifferent to the risk involved in an investment and is only concerned about expected return.

Use risk neutral in a sentence

You should try to make sure that you know if something is risk neutral and decide if it has a big enough pay off.

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I didn't want him on the board of directors because I knew that he was very risk neutral and might do something to mess things up.

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Because the investor was extremely rich and had investments spread out across many different ventures, they were risk neutral regarding their most recent stock purchase.

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risk-averse risk seeking