The negative movement in the price of a security, sector or market. Downside can also refer to economic conditions and it describes periods when an economy has either stopped growing or is shrinking. Movement to the downside is often expressed in terms of risk, as in there is a downside risk in a particular country’s economy; or, stock ABC has downside risk because of changing consumer trends. Downside risk can be evaluated by fundamental and technical factors.

Downside risk is sometimes expressed in terms of an estimation of a security or economy’s potential to experience negative movement. A stock analyst, for example, might guess how big a price drop he or she expects stock ABC will endure because of certain events. Economists can estimate the downside risk a country’s economy is likely to suffer due to current conditions, such as unemployment and GDP growth.

Investment dictionary. . 2012.

Look at other dictionaries:

  • Downside — can refer to: Downside Abbey, a monastery in Somerset, England Downside School, a public school in Somerset, England Downside, a sub district of Redhill, Somerset, England Downside, Surrey, a small village in the county of Surrey, England… …   Wikipedia

  • Downside Up — Box set by Siouxsie and the Banshees Released 29 November 2004 …   Wikipedia

  • Downside-Up — Album par Siouxsie and the Banshees Sortie 29 novembre 2004 Enregistrement 1978 1995 Durée  ?min ? s Genre(s) Alternative Ro …   Wikipédia en Français

  • Downside Up — Album par Siouxsie and the Banshees Sortie 29 novembre 2004 Enregistrement 1978 1995 Durée  ? min ? s Genre Alt …   Wikipédia en Français

  • downside — UK US /ˈdaʊnsaɪd/ noun [C] ► a disadvantage or problem: »The only downside of working here is that it is so far from my home. »The town s rapid growth does have a downside. »We discussed all the potential downsides, but in the end she decided to… …   Financial and business terms

  • downside — 1680s, underside, from DOWN (Cf. down) (adv.) + SIDE (Cf. side). Meaning drawback, negative aspect is attested by 1995 …   Etymology dictionary

  • downside — [n] a negative aspect of a situation defect, disadvantage, drawback, fault, flaw, inconvenience, minus, problem, trouble; concepts 666,674 …   New thesaurus

  • downside — ► NOUN ▪ the negative aspect of something …   English terms dictionary

  • downside — [doun′sīd΄] n. 1. the lower side or part 2. a downward trend or financial loss, as on an investment 3. any or all of the drawbacks or disadvantages …   English World dictionary

  • Downside — 51° 15′ 16″ N 2° 29′ 39″ W / 51.2544, 2.4943 …   Wikipédia en Français

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