Answer:
Unsystematic risk
Explanation:
The portfolio theory posits that the total risk on a collection of assets (i,e a portfolio) can be reduced by spreading the invested fund into different assets that are uncorrelated.
According to this model, the total risk on a portfolio is divided into systematic and unsystematic risks. The theory assumed by diversification, the unsystematic risk associated with a portfolio is eliminated.
Unsystematic risk essentially are those unique individual assets for example. if we invest in company stock, risk associated with factors like bad management , law suit against a company, defect in company;s products are example of unique or systematic risks
