Headline Risk

Risk Management Stock Trading Strategy & Education Trading Skills Financial Terms Dictionary

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Headline risk is that a news report will negatively affect the share price when the time and content of the message is not known in advance.

General risk most often affects individual companies, but can also affect sectors or the market as a whole.
Headline risk can be mitigated with public relations (PR) campaigns and a long-term investor strategy that ignores short-term fluctuations caused by headlines.