The United States Army considers itself descended from the Continental Army, and dates its institutional inception from the origin of that armed force in 1775. As a uniformed military service, the Army is part of the Department of the Army, which is one of the three military departments of the Department of Defense.
Pure risk, also known as absolute risk, is insurable. Speculative Risk: Three possible outcomes exist in speculative risk: something good (gain), something bad (loss) or nothing (staying even). Gambling and investing in the stock market are two examples of speculative risks.
DEFINITION of 'Systemic Risk'. The possibility that an event at the company level could trigger severe instability or collapse an entire industry or economy. Systemic risk was a major contributor to the financial crisis of 2008. Companies considered a systemic risk are called âtoo big to fail.â These institutions are very large relative to their respective industries or make up a significant part of the overall economy. A company that is highly interconnected with others is also a source of systemic risk.