ARTICLE SYNOPSIS ...Risk Assessment For Security Analysis by Lloyd Silver Assessing the risk in a security is an essential part of the investment process. Here, then, are the advantages and disadvantages of two common risk measures: variance and beta. Further, Lloyd Silver introduces a relatively unknown, yet effective, risk measure called lower partial moment and finishes with a method of comparing securities. Before discussing how to measure risk in a security, it is important to explain exactly what risk is and why it is important to the investment process. Three possible conditions are present when foreca...