Key Differences Between Systematic and Unsystematic Risk Aspect Systematic Risk Unsystematic Risk Scope Affects the entire market Affects specific companies/sectors Diversification Cannot be diversified Can be reduced through diversification Examples Inflation, interest rates Management inefficiency, product issues Predictability Linked to macroeconomic factors Linked to microeco... https://finxl.in/financial-modelling-online-classes-courses-training.html